Retirement worries cause sleepless nights
Two research papers have shed light on the anxiety facing people – especially older generations – as they approach retirement.
The majority of Gen Xers – 52% - are not confident they will have saved enough to achieve a comfortable retirement, research by Just Group found.
Meanwhile, one in five Britons have spent sleepless nights worrying about retirement planning, according to Standard Life’s Retirement Voice report. Plus, 15% said it has caused their mental health to suffer and 13% reported they are unable to focus on other things.
Among the people who have struggled, the majority (62%) have not asked for support or advice, Standard Life’s report found. This increases as retirement approaches: three quarters (74%) of 55-64-year-olds and 75% of over-65s have not sought support.
Homeowners (54%) were more confident than renters (33%) that they would have a decent standard of living in retirement, according to Just Group’s research.
Other financial pressures could be inhibiting Gen X from building up retirement savings, Just Group found. Almost a third (29%) are financially supporting their adult children – aged 21 and over – and one in 10 (11%) are financially contributing to the care costs of their parents or elderly relatives.
A Standard Life spokesperson suggested that the Christmas break could be a good time for people to take stock of their retirement savings.
Stephen Lowe, group communications director at Just Group said: "It is clear that Gen X are feeling squeezed – their pensions are less generous, their mortgages are more costly, and many are supporting their children financially with some also helping with later life care fees.
“In this environment with the cost of living crisis tightening budgets further it is perhaps unsurprising that people feel unable or unwilling to increase pension contributions.”
