Much has been written on the subject of retirement income recently, and in that time, the market has experienced some huge changes and been through difficult times. In the last year, it has become apparent that many of those reaching retirement age don't have as much money as they had planned, and need to think about other measures to supplement their income.
We have conducted research into retirement plans and produced some interesting findings. Over a third of Britons have resigned themselves to the fact that they will have to work either full or part-time during their retirement, to fund and maintain the lifestyle they want.
Extending the number of years spent in the workplace is now considered the main solution to avoid a retirement spent in poverty, as over two-fifths of people in the UK doubt that they will have enough money to match their lifestyle when they reach retirement age. Worryingly, of those aged 55 and over, the research revealed that one in 10 already plan to work full-time during retirement. and almost half say they will work part-time to maintain their lifestyle.
Retirement is often thought of as a time to stop working and start slowing down to enjoy life. However, retirees are now working both full or part-time in the belief that their pension pot won't be enough; planning for retirement is even more essential.
Our research reveals that 17% of people want a pension that will give them the maximum possible income throughout their retirement. Alternative retirement products are one way to ensure an income for life with the potential for combating inflation. These products, which offer an income guarantee, can provide a middle ground between traditional annuities and income drawdown, with greater flexibility than a traditional annuity and less risk than a traditional drawdown; and with some you stay in the same vehicle throughout life even beyond age 75.
Letters can be sent to The Editor, Retirement Planner, Incisive Media
Investment Division, Haymarket House, 28-29 Haymarket, London SW1Y 4RX or by email to [email protected].
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