UK residents aged between 40-55, often referred to as Generation X, have not enough pension and investment savings to fund even a modest retirement.
That is according to research carried out by Dunstan Thomas.
The research also revealed that 10% of the Generation Xers that were surveyed claim to have no pension whatsoever.
Other alarming statistics that emerged from the survey included:
- The majority (84%) of Gen Xers are making crucial financial decisions alone or together with their partner, while nearly half (44%) do not consult anyone at all.
- A mere 9% of those surveyed have consulted a financial adviser in the last 12 months.
- Gen Xers are putting just 25% of the recommended amount into their pensions each month, falling short by around £600. (Research by the Institute and Faculty of Actuaries suggested Gen Xers need to put £799 per month into their pension to afford the Pensions and Lifetime Savings Association’s moderate retirement lifestyle income target of £10,200 per year).
Most of those in the Generation X age bracket have various pensions. More than a quarter (27%) have a minimum auto-enrolment pension, and the same number (27%), have a defined benefit pension. Less than a fifth (17%) have a defined contribution workplace pension scheme.
According to Dunstan Thomas, Gen Xers have more than twice as much money held in their pension pots than they have saved as non-pension investments, but they still do not have enough put away to fund even a modest retirement.
