Retirement Planning

Britons Doubt Retirement Income will Suffice

Research conducted by Prudential has revealed that British people retiring in 2010 are expecting to be worse off than those who left work in 2009 and in 2008.

2010 retirees are anticipating an average income of £16,509 per year. In 2009, this average was £17,759 and in 2008 it was £18,663 showing decreases of 7% and 11.5% respectively.Read more

‘Ticking Time Bomb’ for Widows’ Pensions

Each year, just under 300,000 male pensioners are unwittingly denying their wives a comfortable retirement when they die because they are not taking the right advice when purchasing an annuity with their pension savings.

Labelled a ‘ticking time bomb’ by leading pensions campaigner Dr Ros Altmann, the shocking revelation could leave thousands of widows in financial difficulty in retirement.Read more

Two Thirds of Pensioners will Need to Sell Home or Release Equity to Pay for Care say Lib Dems

The future role of equity release as a possible means of funding social care for pensioners has been welcomed by trade body Safe Home Income Plans (SHIP) in response to recent Lib Dem research.

Interrogating Conservative plans for a residential social care scheme that would cost pensioners £8,000, the Liberal Democrats have called proposals ‘unworkable, unfair and unaffordable’.Read more

Raw Deal for Older Taxpayers?

A report by Parliament’s Public Accounts Committee into the way that older people, especially pensioners, are taxed has worryingly shown they could be on the receiving end of a very raw deal.

Constituting 18% of taxpayers, older people are more likely to abide by tax rules but are less likely to understand them, which means they will often pay more tax than is necessary.Read more

Your Pension: How will you fund it?

Huge numbers of people approaching retirement age — millions in fact – are heading for a worrying mix of hefty mortgages with no savings.

A report by Aviva found that 25% of ‘pre-retirees’ – those aged between 55 and 64 – have a mortgage and in 20% of those cases it exceeds £75,000. The report, which came from a study of over 1200 people, stated that 40% of pre-retirees have average savings of only £8,600, excluding pensions, and that this sum could easily be swallowed up should a household emergency occur.Read more