Aviva has launched a new online planning service to help individuals engage in financial planning for the future, as research by the firm reveals 60% of the world's pre-retired adults worry they haven't saved enough for retirement.
The insurer’s survey ‘Consumer Attitudes to Savings 2006’, carried out by the Henley Centre Headlight Vision, revealed 48% of the 50,000 retired people questioned across the world regret not doing more to provide for their retirement, and half of all pre-retirees expect to work in their twilight years to fund their future.
The research, which consists of interviews with adults in 21 countries, also shows only 30% of people in the UK are currently saving for retirement, compared with almost 50% of Americans and 75% of Hong Kong citizens.
Aviva, the parent company of Norwich Union, says 60% of pre-retirees across the world are under-prepared for the financial rigours of retirement which prompts real concerns of a global pensions crisis.
As a result, Aviva says it has launched a free, unbiased information and planning resource website called ‘Six Steps’ to help people make informed financial decisions about their retirement, by taking them through six simple steps towards planning a secure and financial healthy retirement.
The six steps are:
- Step 1: Take control - make a plan for your future
- Step 2: Know yourself – how do you feel about money and taking risks
- Step 3: Save little and often – put some money aside every month
- Step 4: Invest for the future – build up your long term savings
- Step 5: Protect yourself – look after yourself and your money
- Step 6: Get advice – speak to a financial adviser
Richard Harvey, group chief executive at Aviva, says: “Our research shows the pensions black hole is not just a UK-specific issue but an area of global concern. Broadly, the world’s pre-retired population seems to have resigned itself to the fact that the term ‘retirement age’ may not apply to a specific age and will become increasingly ambiguous.”
He suggests it is evident there are a significant number of people who want to arm themselves with clear and concise information and, in many cases, they are going on to the internet to find it.
As a result, he says, Aviva has created www.six-steps.org to allow people to “demystify” the retirement process, promote a greater understanding and to empower individuals to build their own retirement plan, without the pressure of buying specific products.
That said, Harvey warns: “As the population grows, so does the stress placed on state pension schemes. Unless people make a concerted effort to take control of their retirement, by planning effectively, we shall continue to see a worrying trend that will ultimately lead to higher numbers of people struggling to adequately fund their retirement.”
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