Four in five (79 percent) people aged over 55 who have retired did not take up financial guidance or advice, instead preferring to manage their own finances.
This was the finding of an Opinium survey, conducted on behalf of Canada Life, with 663 people over 55 who said they were retired,
Results showed that 29 percent of respondents said they are not living the retirement they dreamed of, although 39 percent said they are.
One in ten retirees (11 percent) did not anticipate just how much money they would need in retirement, and are finding life after work more difficult than they expected. One in ten also said they wished they’d planned properly.
More than a third (36 percent) of retirees said they had faced unexpected health challenges, however, 27 percent said that although they weren’t living the retirement they’d planned, they were still very happy.
Researchers said the results suggest that money, or the lack of it, is a big driver of overall retirement satisfaction.
But inflation and the cost-of-living crisis are negatively impacting retired people. One in five (21 percent) say they hadn’t factored rising costs into their plans. In addition to this, unexpected costs had also caught retirees out with 13 percent receiving unexpected bills.
More than one in ten (12 percent) had saved enough to live the retirement they planned, while a similar proportion (11 percent) did not realise how much money they would need to fund retirement.
Tom Evans, managing director, retirement, at Canada Life, said: “It’s clear from this insight that people’s experiences of retirement vary quite widely. While a lack of retirement funds, and the impact of rising costs are clearly issues facing the current generation of retirees, unexpected health issues trump both of those, and the dreams of many have been shattered.
“Planning your retirement and ensuring it is flexible enough to navigate the many challenges you will face is vital to feel in control to enjoy your later years. Engaging the services of a qualified financial adviser early on is a fundamental part of that process. An adviser will not only be able to help with product choice, investment selection and tax, but will help you navigate any unexpected bumps in the road along the way.”
