According to a recent poll* by WEALTH at work, only 18 per cent of respondents believe their employees know how much they should be saving into their pension to get a good retirement income.
Jonathan Watts-Lay, director, WEALTH at work, a leading provider of financial education in the workplace, comments: “It is a worrying problem. Employees simply don’t understand how much they should be saving for retirement. It could lead to many individuals realising that they have not saved enough to meet their expectations in retirement, at a time when it’s too late to do anything about it.”
He concludes: “The findings indicate to me that many employees are not getting the financial support they need to enable them to make informed decisions around their retirement. I believe that it’s in the employer’s best interest to support employees in understanding what they need to do to achieve a secure retirement income. The best way to do this is through the provision of financial education followed by advice, ideally provided via the workplace.”
*Statistics quoted are from the retirement income poll carried out on the WEALTH at work website from January until April 2016. The poll asked ‘Do your employees know how much they should be saving into their pension to get a good retirement income?’ and received 50 responses.