A new report from YouGov has shown that a large proportion of the UK’s millennials have no pensions savings, with many saying they don’t have a good enough understanding of pensions to make an informed decision.
The Bridging the Young Adults Pension Gap study found that 44% of 18-34 year olds admitted to having no pension savings at all, compared to 22% of 35-54 year olds and 20% of over-55s.
A lack of knowledge is clearly an issue for many, with three in ten under-35s (27%) confessing they simply don’t have enough knowledge of pensions in general.
Indeed, even millennials that do have a pension admit that they do not have a clear picture of what is involved, with 14% not able to confirm which type they hold.
It’s a picture that is causing concerns to the age group, with well over half (58%) anxious about their ability to support themselves when they stop working to enjoy a long and fulfilling retirement.
The state pension is not seen as a sufficient answer by over a third of 18-34 year olds, with 35% agreeing with the statement: “If government spending for pensions continues as it is, the state pension will cease to exist at some point due to funding pressures”.
The place of pensions among the priorities of the UK population was also revealed by the report – with putting cash away for retirement a top consideration for 21% of adults, compared to saving for a holiday (32%), ‘stashing case for a rainy day’ (29%), buying a property (14%) and saving for house improvements (14%).
Research executive for YouGov Kate Fillery, said: “With a large ageing population eating into the government’s ability to provide a state pension, and many young people unwilling or unable to feed into pensions of their own, these figures again suggest a tricky retirement for many”.
Whether you’re saving for a new home, a dream holiday or simply for a rainy day, savings plans need to be as individual as you are. We will work with you to create an investment strategy that suits your needs. We intend to do this by: utilising the best fund managers in the world, whilst operating from a secure and tax-efficient, offshore location. This ideal combination will help you reach your savings goals. With most companies here in the UAE not providing adequate pension and retirement needs for employees is widespread. This is why it’s crucial that as a non-tax paying expat, you take full advantage of the time that you have here. Particularly as pensions and retirement planning can be difficult and convoluted. This is why professional planning should be prioritized so you can possess financial freedom later in life. Moreover, the products we recommend will produce the sort of returns that will not only exceed your expectations but will not affect the quality of your lifestyle when you are no longer working.
Goals: having goals in place is a vital part of any client’s future financial plans and it is our job to ensure we provide that required focus and freedom to assess where they want to be today – and more importantly in the future. Crucially, we will re-address all of your goals, every quarter, to identify progress and to monitor if objectives are being met.
Planning: this is the crux of achieving your financial optimum. With our guidance this will become effortless; empowering you to plan for your retirement, education plan or lump sum; our methodology is organised in such a way to gather pace at the right time thus reaping the maximum monetary benefits.
Investing: a lot of people come to us without any knowledge of ‘how’ and ‘where’ to invest and this is something we are always able to adapt to. Regardless of your experience, we will coach you to understand the markets whilst remaining fully focused on the long-term goals.
Review: each quarter we will sit down and review all of your plans and take an holistic view of your whole portfolio, including every aspect of total investments.
Strategy: personally, it is paramount that everyone we take on has a main, strategic aim in regard to investments; be it long or short-term, we only work with clients who are serious about saving money alongside planning for their, and their family’s future.
Independent: this is just one of the ways we are unique, what’s more, we work for a company that is independant, allowing access to all of the major banks and institutions; this is crucial and allows us to make sure we give all of my clients a prioritised and tailor-made solution. Objective: the priority is to establish a mutually agreed target, hence, each time we sit with new or existing clients it is to confirm an objective and how we will achieve it.
Tax Efficiency: we all work in a Tax-Free environment therefore we’d prefer to preserve what we have and not pay tax on any current assets. What we seek to do is make every product, for all of my clients: tax efficient and profitable.
Security: something that is often taken for granted is the security of money in banks, so it is one of our jobs to make sure that not only it is secure in the investment banks, but also in any funds and stocks held.