8% of retired people concerned about being able to pay bills

New research Opinium has found that 8% of retired people are concerned about being able to pay bills.

The research found that 41% said being able to pay their bills in retirement was a realistic goal. Worryingly 8% did not think it was a realistic prospect, whilst 11% did not think it was realistic that they wouldn’t have to worry about money during retirement. However, 20% did think it was a realistic goal.

The same percentage (11%) didn’t think they had a realistic prospect of having enough savings to cover emergencies. The 55-64 age group were the most pessimistic about their ability to meet basic needs in retirement with 13% not believing it a realistic prospect to pay their bills.

Helen Morrissey, Senior Pensions and Retirement Analyst at Hargreaves Lansdown said “While many people feel they have a decent chance of meeting their basic day to day expenses when they get to retirement there are millions of people who don’t, and this is very worrying. Worrying about being able to pay your bills or not having enough to cover an emergency cost can hugely impact your quality of life. While some retirees will be able to continue working to help them make ends meet not everyone will be in this position and their options once in retirement can be limited.”

“Auto-enrolment will have a big impact over time as more people are brought into the workplace savings sphere, but this will not help people who are coming up to retirement in the next few years and we do see a larger proportion of older workers saying they don’t see a future where they don’t worry about money. The good news is younger age groups do seem to be more optimistic about their ability to cover the basics, but it is important to monitor your pensions throughout your working life to make sure you are on track to meet your retirement goals.”

“Making even the smallest of top ups to your pension contributions at various points over your working life – for instance when you change jobs or get a pay-rise – can have a huge impact on how much your pensions are worth when it comes to retirement. If you pay more you may also find your employer is also willing to pay in more and this can give your planning a further boost.”