Young people not aware of how to plan for retirement
Most people under 34 do not know how to go about making provision for their pension plans with the majority not putting enough into their retirement funds. This is the key finding from a survey conducted by the Irish Association of Pension Funds (IAPF) showing that young people are misinformed when it comes to good retirement planning. According to the Chief Executive of the IAPF, Jerry Moriarty, most future retirees need 70% of their current salary to sustain the same standard of living into retirement age.
This lack of knowledge is reflected in further findings derived from the same survey. Many workers were found to have underestimated the amount that they must save in order to maintain their standard of living when they stop working. Indeed, a group of respondents between in the 25-34 age bracket stated that they would only need around 30% of their current wages to get by in old age.
However, there was one silver lining from the study – a sixth of those under the age of 24 interviewed were aware of the necessity for access to such income levels post-retirement. But very few of these people actually had a pension plan in place that will provide a sufficient return. The IAPF have called for more education to stress the importance of the younger generation to start preparing adequately for their futures.
Why not let our pensions advisors educate you about your options? We will put you in the right direction with a suitable plan that will guarantee solid returns, leaving you get on with life safe in the knowledge that you are prepared for retirement. Don’t put your financial future on hold: give us a call on 1890 746 759 or send us an e-mail to firstname.lastname@example.org to request for advice.