Credit, Collections & Insolvency News
The vast majority of those likely to be approaching, or in, retirement lack confidence and critical knowledge about key aspects of their retirement finances, spelling potential uncertainty ahead for thousands of retirees, according to new research from Standard Life, part of Phoenix Group.
Standard Life’s Retirement Voice study, conducted among 6,000 consumers, found that only 9% of over 65s feel confident about managing their retirement finances as a whole, and over half of over 65s (52%) feel nervous about accessing their retirement funds.
Almost half (43%) of over 65s don’t feel they understand the pros and cons of the various options available to them to access retirement finances, and fewer than one in ten (9%) are confident about how they will access or draw down their retirement savings. Only 13% of over 65s are confident that they know what options they have to use their pension savings to provide them with an income in retirement.
Over half (54%) of over 65s are also worried they are making bad decisions around using their retirement finances.
Dean Butler, Managing Director for Retail Direct at Standard Life said “It’s rather worrying to see so many people fast approaching or even reaching retirement and yet feeling unsure about important areas of their finances. Being as informed as possible is key to being able to make good decisions and protect your financial future in retirement.
“Whether it’s deciding how you’ll take money from your pension, or when to do so, you need an understanding of options available, and the implications of each on your money in retirement. At the moment seeking advice can seem inaccessible to many, and we’d like to see advice and guidance extended and made more affordable to ensure people can make well informed decisions.”
