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.”
If you have any comments you would like to add to this story or would like to speak to its author about a similar subject, telephone Nyree Stewart on 020 7034 2681 or email [email protected]IFAonline
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