More than one in two middle-aged savers have not calculated when they can afford to retire, according to research.
Aviva found that six out of 10 (63 per cent) mid-life adults, aged between 45 and 60, had not requested a state pension forecast, while 53 per cent of this age group had not calculated when their savings may allow them to stop working.
In order to help address this issue Aviva has launched a new “Mid-Life MOT” app, providing guidance for those looking improve their wealth and wellbeing. The app suggests a range of action people can take to get a clearer picture of their retirement finances.
This survey shows that people are increasingly using apps to help manage their money. But while almost a third (28 per cent) use smart phone apps for everyday finances only 7 per cent use them for retirement planning – according to this research.
Aviva says there is a greater need for this assistance. Its survey showed a 40 per cent increase in app usage during the pandemic and lockdown.
However a third of mid-life savers say confidence in their health and wellbeing has worsened over this period, with one in five (19 per cent) citing a decline in their work-life balance and job security.
Aviva head of savings and retirement Alistair McQueen says: “Much of the debate surrounding Covid-19 has focused on the needs of the youngest and oldest in society and there’s a risk that we overlook the millions in between.
“Before Covid-19 struck, 45-60 was the fastest growing age group of workers in the UK – bringing huge experience, skill and potential to the labour market. However, this age group is also the most likely to be overburdened with wealth, work and wellbeing concerns.”
McQueen describes this group as “resilient” but says it is vital they receive support to ensure they reach their full potential.
To help this age group Aviva starting offering a Mid-Life MOT programme in 2018 for employees aged over 45.
McQueen adds: “Aviva’s internal Mid-Life MOT programme has been successfully running for over two years, providing guided education to t the management of their wealth, work and wellbeing. The programme has delivered a double-digit increase in the participants’ confidence and in their awareness of where to seek more help.
“We don’t claim the Mid-Life MOT app provides all the answers. But we believe it could act as a helpful nudge towards greater control over their futures. At a time of such uncertainty, we believe that a sense of greater control can be of value to millions in mid-life.”
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