Ryan FowlerNew research from retirement specialist Just Group has found that the majority of people in their 40s, 50s and 60s are heading towards retirement without a clear plan.
The study, part of the company’s GenVoices programme, explored the attitudes and experiences of Gen X and Baby Boomer workers and found that only a small proportion have set out formal plans for life after work.
Among Gen X workers, born between 1965 and 1983, just 6% reported having a written retirement plan, while 13% said they had one but not in writing.
For Baby Boomers still in work, born between 1946 and 1964, only 7% had a written plan and 22% said they had a plan that was not recorded.
Around a quarter of each generation – 24% of Gen X and 26% of Baby Boomers – said they had only “a vague idea” of their retirement, and the largest group in both cases admitted they had no plan at all.
Stephen Lowe, group communications director at Just Group, said: “Retirement is looming for both cohorts but our research shows the vast majority have not made a formal plan for how they want to retire, risking reaching retirement unprepared.
“The most obvious issue for these groups is that time is running out for them to put money into pensions and other investments for retirement, but that assumes they can continue to work until State Pension age or later.
“For people who are forced out of work early, perhaps due to illness or redundancy, they may find their retirements undermined before they even begin.”
