More than half of UK adults are creating secondary pensions savings and investments, as inadequate retirement pots create fear about living longer on less, Prudential research suggests.
According to the provider's 'Class of 2010' survey, 55% of respondents say they are taking steps now to boost their retirement funds.
Around a third (36%) of the 2,000 adults say they will use additional cash savings to supplement their retirement income.
Almost one in three (31%) already have or plan to boost savings with Additional Voluntary Contributions (AVCs) offering the same or better tax breaks as a regular pension.
Stocks and shares were the next most popular supplement to pension income (17%), while 15% plan to downsize their homes and release equity, according to the research.
However, more people admitted fearing they will outlive their savings (59%).
Instead, a fifth (19%) intend to address the failure of retirement pots fail to keep up with longevity by continuing to work, and add to retirement savings, beyond the state pension age of 65, the same for both sexes as of 6 April this year.
Yet despite concerns about inadequate savings potentially forcing them to work into their seventies, more than one in three (36%) British adults still plan to take a lump sum from their pension at retirement, further reducing their income, the research suggests.
The average British worker expects a single tax-free payment of around 17% of the fund, according to Prudential.
Prudential's corporate pensions director Richard Harrison says: "Today, a 30-year old man can expect to live until he is 86 [according to Office for National Statistics figures].
"This is a scary proposition for people considering how to fund their retirement but there are plenty of options for boosting savings."
Recent figures compiled by MGM Advantage suggest the average household needs £564,227 to cover the cost of the first 20 years after quitting the workforce.
The calculation is based on annual household expenditure for those aged 65 to 74 at £23,107, compared with £14,926 for those aged 75 and over. Five years ago, the figures were £17,737 and £11,700 respectively.
£300bn of liabilities
View from the front row
Transfer from occupational scheme
Appointed by FCA and PSR boards