A study shows that about a quarter of 18–40-year-olds in the US (Millennials and Gen Z), believe that social security might not be available to supplement their income when they retire. *
This is also followed by the fact that many speculate that the fund will run out of money by 2033.
The reason?
Well, people are living longer and there are just too many people claiming state pensions. The fund cannot sustain the drain on its resources. In the past, pensions would be claimed for around 20 years, but these days pension pay outs could last 25-35 years. That’s almost double.
This alarming reality is not just a warning in the US, but in many countries offering old age pensions.
Professionals must rely more on other pensions and consider social old age pensions a supplement or bonus to their main pensions. In the past, company pensions were the main source of income for professionals at retirement. Since the phasing out of defined benefits schemes, they are looking more and more to private pension plans.
An added concern from the study was the average retirement age that each of the generations wanted to retire at.
Baby Boomers |
68.8 |
Gen X |
63.2 |
Millennials |
61.3 |
Gen Z |
62.5 |
Apart from Baby Boomers, these are quite low considering the average state retirement age is around 67. This retirement age goal puts strain on an individual’s retirement savings as they would have to save even more to be able to retire comfortably at the desired age.
A possible solution for retirement, is a private pension plan that an individual can control and monitor. It is a plan that they can contribute towards that will last their entire working career, unlike work pensions that get started and ended as jobs change.
Strive for stability and consistency in your retirement planning, and you could have the kind of retirement lifestyle you want at the age you want.
How to potentially increase your chances for the retirement lifestyle you desire
It is advisable to meet with your financial adviser to get your retirement goals on track. [email protected]
*https://news.northwesternmutual.com/planning-and-progress-2020
Please note, the above is for education purposes only and does not constitute advice. You should always contact your deVere adviser for a personal consultation.
** No liability can be accepted for any actions taken or refrained from being taken, as a result of reading the above.
deVere India’s Public Relations Department deals with all areas of the media and external communications including international, national, regional, local, trade, consumer, print, broadcast, social and online. The Department aims to provide a helpful service to journalists, broadcasters and editors, amongst others, and reply to all media enquiries, including urgent enquiries out of hours, within agreed deadlines. Our press office does not have access to client details and will not be able to assist with individual client enquiries. Please contact deVere India’s Head of Public Relations on [email protected] or call +44 2071220925
Date for the month ending August, 2024
Sr. No. | Received From | Pending at the end of the month | Received | Resolved | Total Pending# | Pending complaints > 3 months | Average Resolution Time^ (in days) |
---|---|---|---|---|---|---|---|
1 | Directly from Investors | NIL | NIL | NIL | NIL | NIL | N/A |
2 | SEBI (SCORES) | NIL | NIL | NIL | NIL | NIL | N/A |
3 | Other Sources (if any) | NIL | NIL | NIL | NIL | NIL | N/A |
Grand Total | NIL | NIL | NIL | NIL | NIL | N/A |
^Average Resolution time is the sum total of time taken to resolve each complaint in days, in the current month divided by total number of complaints resolved in the current month. If you have a complaint, send it to this email, [email protected]