You are here: Home - Retirement - Retirement planning - News -

People are preparing to work into their seventies

0
Written by:
28/11/2017
Retiring in your sixties could become a thing of the past, with one third of people expecting to work beyond the age of 70.

Research from Fidelity International shows younger workers expect to work the longest, with two fifths (40%) expected to go to 70 or beyond. However, those aged 55+ also recognise that retirement may be hard-won, with 24% not expecting to retire before they hit their 7th decade.

The recent Cridland report accelerated the rise in state pension age to 68 by 2039. Around half (51%) still expect to be able to retire before age 68.

This is not exclusively a question of lack of finances with around 9% saying they don’t want to retire. This echoes previous surveys that suggest some people crave the sociability of the workforce and extra cash it gives them.

Ed Monk, associate director for personal investing at Fidelity International, said: “It’s been clear for some time that the days of being handed the embossed fountain pen at age 60 have more or less gone. Today’s workers appear to be under no illusion that they will need to work for longer and, for most, it will be through necessity.

“Of course there are limits on how far this is possible. Even the gradual rises in state pension age already scheduled, however necessary, will be a worry for those in physically demanding work. And even if your work is something less strenuous that you enjoy few people will want to work flat out until 70.”

Retirement is not always a choice, with some people forced to retire because of ill-health. Monk suggests that saving as early as possible can help give retirees a range of options. He adds: “Delaying pension contributions by ten years can halve the size of your pot – for example, someone saving £200 a month from age 25 onwards will reach a fund of £706,261 but delay this until 35 and the amount nearly halves to £362,107.”

See YourMoney.com’s Plan to work past state pension age? The key tax and income implications to note for more information. 

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
take that
Music fans to be better protected when using ticket resale sites

The competition watchdog has announced a number of measures for secondary ticketing sites must take to comply with the law,...

Close