State pension insufficient, say baby boomers
A massive 84% of consumers in their 50s and 60s think that the State pension is insufficient to live on in retirement. But 2 out of 3 people are not looking into financial plans for retirement until after their 50th birthday, according to new research conducted for pension provider Skandia.
In the survey 63% of people agreed with the statement “Our generation expected the State pension was all you would need to live on”. But with the majority now realising the State pension is insufficient to live on in retirement, these people face a gap between their perception of retirement and the reality of their financial situation.
Most people surveyed were positive about retirement in general, with 91% saying that they think they will enjoy their retirement, nearly a third (28%) say they are looking forward to spending time with their family, and a similar number (26%) say they are looking forward to having no or less work.
But of those approaching retirement, 71% had not established what their retirement income was going to be, and neither had over half (52%) of those who had already retired. In total only 36% of people had actually looked into how much State pension they would receive, and even fewer (22%) had looked at what their total retirement income would be from all sources.