(PRWEB UK) 25 May 2013
Research from Standard Life has found the biggest financial regrets shared by UK adults.
When asked what one thing, if anything, Britons wish they had started doing earlier to be financially efficient with their money, saving for retirement came top of the list. Nearly one in seven (15%) UK adults said they wish they’d started saving for their retirement when they were younger.
And if you ask those aged 55 plus, today’s baby boomers, then an even higher number - one in five – say this is their biggest regret. This figure rises further among adults who are saving into a personal pension rather than being part of a workplace scheme, with a quarter (25%) wishing they’d started saving earlier, compared to just 13% of those saving into a workplace pension.
The top five financial regrets from respondents were:
Standard Life's Julie Russell said: "As they say, hindsight is a wonderful thing, but I think we can all learn from those who are older and wiser. If 20% of baby boomers who are retiring or are already retired say they wish they'd started saving for their retirement earlier, then we would be foolish not to listen to their advice. The earlier we start saving, the bigger the impact on our future finances."
"Someone who starts saving £100 a month at age 25 could receive an income of £3,570pa by the time they are 65. Using the same assumptions, someone saving the same amount from age 40 would only have a pension income of £2,000pa by the same age*."
"For those who feel they've already left it too late, the important thing is not to panic and save what they can now. And those who are not already saving through a workplace scheme or about to be automatically enrolled into one should find out more about personal pensions if they don't want to end up with the same regret as many other personal pension savers. These days most personal pensions are really flexible, so you can increase, decrease or stop and start contributions to suit changes in the future."
Notes to Editors
All figures, unless otherwise stated, are from YouGov Plc. Total sample size was 2059 adults. Fieldwork was undertaken between 25 - 28 January 2013. The survey was carried out online. The figures have been weighted and are representative of all UK adults (aged 18+).
*All pension figures are sourced from Standard Life and are based on an individual retiring at 65, making monthly pension contributions, assuming a growth rate of 5%pa, inflation of 2.5%pa, an annual increase in contributions of 3% and an annual management charge of 1%. The income produced is based on an annuity that does not increase, paid monthly from age 65, and this will continue to be paid for the first five years even if the individual dies.
About Standard Life:
Established in 1825, Standard Life is a leading long term savings and investment company, with around six million customers internationally. By understanding its customers and offering innovative products to meet their needs, Standard Life helps people with their financial planning, so they can feel more confident about the future.
Senior Media Affairs Manager
Standard Life House
30 Lothian Road