Do you know how much you are saving in to your pension? 40% of Britons are concerned about the quality of their lifestyle in retirement.
According to a recent study by Aegon, 40% of people are concerned that Brexit would have a negative impact on their retirement savings.
In addition, over a quarter of respondents are not aware of how much they are saving and 13% have no savings whatsoever.
36% of people surveyed have not calculated the amount of income they would need in retirement.
Steven Cameron of Aegon says:
"These figures should set alarm bells ringing. Despite the introduction of auto-enrolment, there are still many individuals who are entirely unprepared for retirement.
Many people may put off finding out how much they have saved, fearing it will be less than they’d hoped or will need."
On Brexit, Mr Cameron emphasises that pensions are long term rather than short term investments and that short term market fluctuations shouldn't worry those that do not need to retire soon:
"Saving regularly is a good way of ironing out ups and downs in the market."
The lack of preparedness has resulted in many people having to recalibrate their expectations once retirement hits, with only 17% of people having pension pots of £300,000 or more at retirement.
The advent of the auto-enrolment scheme however is increasing the amount of pension investors, which has increased from 55% of the population in 2012 to 84% today.
Are you aware of how much you will need to maintain your standard of living in retirement? Your financial adviser can help you to put the appropriate pension in place and the earlier you start, the better.
The value of investments and income from them may go down as well as up and you may not get back the original amount invested.
A pension is a long-term investment. The fund value may fluctuate and can go down. Your eventual income may depend upon the size of the fund at retirement, future interest rates and tax legislation.