More than a third of people retiring this year are currently supporting their families financially.
That’s according to a survey carried out by international financial services group Prudential.
The survey, of more than 1,000 people planning to retire in 2015, found that 36% are providing financial help to relatives.
Indeed, the survey stated that retirees are paying an average £250 a month and almost £3,000 a year to their families.
Almost one in eight people (12%) pay more than £500 a month to family members.
Of the 2015 retirees that subsidise their families:
- 56% give money to their children and their partners
- 27% provide support to their grandchildren and their partners
- 7% help their parents
Stan Russell, retirement income expert at Prudential, said: “A large proportion of this year’s retirees will be providing support to their families through one form or another and as a result they will see their retirement incomes squeezed.
“Even if the financial support they offer is minimal, many new pensioners will continue to play an important role in providing a home for other family members. This will obviously need to be factored into a retiree’s budgeting plans for their post-work years.”