A new report published by HSBC has revealed that a shocking number of people are risking future retirement hardship by disregarding financial planning in the present.
The report, The Future of Retirement: The Power of Planning, investigated the outlooks and attitudes of over 17,000 people in 17 different countries with regards to financial planning and retirement.
One of the most worrying findings of the report was that a large amount of people do not adequately plan for their retirement, despite voicing concerns for their financial futures.
According to the report, one in five currently working people admit that they do not know where they will find retirement income. Two thirds of the respondents fear that they will not be able to cope financially once they stop working.
Also, when quizzed about planning 19 percent said they had not thought about how they were going to fund their retirement.
A spokesman for HSBC said: “This report reveals a disturbing lack of awareness and planning about how people expect to fund their retirement. For some, the planning has started and they will most likely enjoy a wealthy and happy retirement – but sadly for far too many there is still an assumption that the state will provide or simply a lack of knowledge about retirement incomes. While some have realised and embraced the value of planning ahead, others have a long way to go to reduce the shortfall between actual income and need. Against a backdrop of an ageing world population and declining state and company pensions, people need to stand up and take responsibility for securing their own future. Just saying ‘I don’t know’ is akin to burying your head in the sand – storing up big problems for later on.”
Financial planning is vital if you wish to enjoy a comfortable and worry-free retirement. Speak to an IFA today for more information on how to plan your financial future.