A new report from the International Longevity Centre UK suggests that many of us are chronically under-saving and may face financial hardship in retirement.
According to the report many people who belong to the so-called Generation X (those born between 1960 and 1980) will have an inadequate income in old age.
The research suggests that over 30% of this age group will retire with less income than they need to support themselves, and that over half of them would like to save more, but that they can’t because of financial pressures.
The report also says that one fifth are saving less or spending their savings as a result of Covid-19.
If you are worried about whether you are saving enough to see you through retirement, seeing a financial adviser could help you in a number of ways.
Cashflow modelling
A cashflow model can show you how much money you can save for your future by the time you retire, and whether you are on course to be able to support the lifestyle you want.
An Amethyst financial adviser will look at your income and expenditure, both now and in the future, taking into account any pension plans you might have.
They will then use our specialist software to look at this against your future desired income, including the impact of things like your planned retirement age, big holidays and gifts you may want to leave your children.
You can use this both to make sure you are saving enough, and to be more confident in what you can afford to spend now.
Looking at your pension scheme
It’s never too late to join a pension scheme.
You may want to set up your own in addition to your workplace pension scheme, or you may want to consolidate schemes if you’ve had more than one employer
Looking at the different pension schemes to choose which one is best for your circumstances is something that our team of financial advisers can help with.
Reviewing your current expenditure
One of your biggest costs is likely to be your mortgage deal and it’s worth reviewing this regularly to make sure you aren’t paying too much.
The mortgage market is currently very competitive and making sure you secure an attractive deal rather than sitting on your lender’s Standard Variable Rate can save you thousands over the years.
A financial adviser can also help you look at any savings and investments to make sure they are performing well and help you with other financial planning.
Get in touch
If you think your finances could benefit from some expert help, don’t hesitate to contact us and we will be happy to help.