Almost half (48 per cent) of retirees are worried that they may eventually run out of money in retirement, yet 41 per cent have no plan as to how much they should be spending each year to avoid this issue, research from Abrdn has revealed. The survey showed that 24 per cent of retirees, around 3 million Brits, were expecting to boost their savings with inheritance, whilst 33 per cent, equal to around 4 million retirees, plan to downsize to...
After they were forced to shield during pandemic rather than top up their retirement income The number of Brits over the age of 70 returning to work is rising, research by financial advisory firm Salisbury House Wealth (SHW) has found. According to data by the Department for Work and Pensions (DWP) around 481,000 of over-70 are currently working – a 6% increase in the past year. The figure for 2020 was approximately 452,000, as older workers were asked to shield during the...
The government has secured an extra NIS 20 million in annual payments for Holocaust survivors living in Israel following negotiations with the German Finance Ministry. The cabinet approved the agreement on Sunday. Some 3,700 Holocaust survivors who receive pensions from the German government will be eligible for the increased payments. The negotiations were conducted by the Social Equality and Pensioners Ministry and the Authority for the Rights of Holocaust Survivors. All those eligible for German pensions will receive an extra €100...
By Keith P. Ambachtsheer The Future of Pension Management offers a progress report from the field, using actual case studies from around the world. In the mid-70s, Peter Drucker predicted that demographic dynamics would eventually turn pensions into a major societal issue; in 2007, author Keith Ambachsheer's book Pension Revolution laid out the ways in which Drucker's predictions had come to pass. This book provides a fresh look at the situation on the ground, and details the encouraging changes that...
Iceland has the best pension system in the world, according to a global study that shines a light on how nations are preparing their aging populations for retirement. The country took the top spot in the Mercer CFA Institute Global Pension Index published Tuesday, drawing praise for being well governed and providing strong benefits to retirees, including a generous state pension. The Netherlands and Denmark came in second and third respectively after holding the top spots for the past decade. Read...
India needs to undertake strategic reforms to revamp the pension system so as to ensure adequate retirement income, revealed the 2021 Mercer CFA Global Pension Index survey (MCGPI) released on Tuesday. The Indian pension system ranked 40th on the overall index ranking out of 43 systems and had the lowest rank in the adequacy sub-index. The primary objective of this annual survey by Mercer Consulting, a leading global management consulting firm, is to benchmark each retirement income system using more...
The €5 hike in the State pension in last week’s budget, along with delays in increasing retirement age and introducing automatic enrolment into savings plans, all threaten the sustainability of the pensions system over the long term, according to a new study. The Mercer study points to considerable future challenges as the population ages due to the topping up of what is described as a “generous” pensions system, and a failure to address core issues. Also adding to the problem is...
By 2070, males born in Ireland will be expected to live 22 years longer than they would have in 1951, while females would be expected to live 23 years longer. Earlier this month, the Department of Finance released a report which suggested that the best way to deal with the pensions timebomb was to link the state pension age to life expectancy. The report was not greeted with enthusiasm. Political pressure after the last election forced a deferral of the planned...
By 10X Investment Even before Covid-19 and the associated lockdown, many South Africans, including many thousands of pensioners, were in crisis. The global pandemic has magnified many vulnerabilities in our society. It is in this context that 10X Investments launches the third annual report on retirement readiness in South Africa. The inaugural Retirement Reality Report, published in 2018, set out to interrogate the developing retirement crisis and its underlying causes based on the results of our Retirement Reality survey. The report...
The Department for Work and Pensions (DWP) underpaid 134,000 pensioners in state pension to the tune of £1bn, according to new figures from the National Audit Office (NAO) “Repeated human errors over many years” was cited as the reason for the underpayment. Read also UK. Guy Opperman reappointed as pensions minister The NAO said some level of error in the processing of state pension claims was almost inevitable given “the complex rules and high degree of manual review necessary” when assessing them. Read...
