Almost half (47%) of working people plan to semi-retire before finishing their working life completely, according to research by HSBC.
Its The future of retirement choices for later life report, which surveyed 16,000 people in 15 countries, also found that 29% of current retirees initially took semi-retirement.
The study also found:
- 43% intend to fully retire and 10% never plan to retire.
- More than a quarter (26%) of working age respondents believe it is better to spend all of their money and let their children create their own wealth, while just 5% say that it is better to save as much money as possible to pass on to the next generation.
- Almost three-fifths (57%) of working age respondents and half of retiree respondents (50%) provide regular financial support to at least one other person.
- 58% of working-age respondents in the UK expect to leave an inheritance to their children, but just a third (33%) have received an inheritance.
- More than half (53%) of respondents said they have been unable to realise at least one of their hopes and aspirations since retiring.
Caroline Connellan, head of wealth at HSBC UK, said: “This report shows that withdrawals from the bank of mum and dad may actually be affecting the standard of living of many retirees.
‘New pension freedoms have made savings more accessible, but people should carefully consider the right balance between helping their family and making sure they have sufficient income through retirement.
” It’s more important than ever that people of all ages make plans about how they’ll fund their retirement, so they can live the lifestyle they want to. Many will benefit from seeking financial planning advice when making these decisions.
“Even the smallest amount saved today can contribute towards the lifestyle you want in retirement and the legacy they hope to leave. Those who fail to plan may find that any kind of inheritance is not only unlikely but also that a comfortable retirement is beyond reach.”