Young people may find that it is a good idea to place their money in savings accounts at an earlier age in order to plan ahead from the future.
Aviva,
the company that conducted the research, have issued the advice given by the retirees, to their successors. This includes spending less on expensive life events and setting cash aside instead.
Over 60 per cent of those surveyed suggested that spending a smaller amount on weddings is a positive move, as this money can then be placed in a giving the individual a head start later in life.
Amongst the top tips given by the pensioners, there were ideas such as not splashing out on designer clothing labels and cars, making sure you shop around before deciding on a sale and using less often. All of which are good solid actions that can reduce the amount you spend, and therefore help you out financially later in life.
Mr Clive Bolton, director at Aviva, commented that, “despite this stark recognition by the public, many still delay making plans for their later years and perhaps understandable, focus their spending on their day-to-day life.”
A rise in the state pension age has now become “inevitable”, which may lead the older generation to examine the raft of financial options available to them in their later years.
Keith Churchouse, director of Churchouse Financil Planning, recently warned that the government would be likely to increase the pension age sooner than later, stating that this could leave some people lacking in finances.
Mr Churchouse indicated that by 2048, he believes that the pension age will have increased to 68.
He explained that if the general public wants to avoid working up to this age, they will have to work on putting themselves in a good financial position sooner than later.
"It is well known that the UK public are not saving enough for their retirement and even with the likelihood that we're going to live longer, it still means that we need to save more to try and ensure that we do have a comfortable lifestyle when we get there," noted Mr Churchouse.
The expert finished by stating, "if we continue to live longer with less people in work, then I think we can certainly see, as an example, the state pension means tested."
