More than 40 per cent of pre-retirees are worried about having enough income in retirement and about whether their savings will last, according to two surveys carried out by industry superannuation fund Equipsuper.
Geoff Brooks, Equipsuper's executive officer, strategic marketing and communications, said those concerns demonstrate exactly why education and advice have become an important part of the services offered by super funds to their members.
"There is an important emotional driver in achieving high levels of satisfaction among members – and that is confidence in their financial security heading into retirement," Mr Brooks said.
According to the Equipsuper surveys, up to 40 per cent of respondents said they plan to consult with a financial planner while one third said they did not need one. About 94 per cent of those who said they would not consult with a planner said they would leave money invested in super and withdraw it as required.
In an online survey conducted with oversixty.com.au, about 40 per cent of respondents said they were unsure whether they had enough money saved for retirement.
In another survey, about 46 per cent said they felt some anxiety at the thought of their retirement finances, according to Equipsuper's 2015 Annual Member Survey, conducted by CoreData.
The surveys also found that more than 55 per cent of respondents planned to rely wholly or in part on the government age pension for income in retirement. Only about a quarter felt confident about their retirement finances.
This data is based on more than 2,100 survey responses.
"An important component of our annual survey is tracking whether members believe our fund can help them achieve a better retirement outcome than they could otherwise expect," Mr Brooks said.
"Over recent years, quality of communications and ready access to professional and personal advice is as big a driver of confidence in the fund and in their future as investment returns and competitive fees."
SUBSCRIBE TO THE IFA DAILY BULLETIN
19 Jan 2018ASIC warns licensees over death nominationsBy Staff Reporter
18 Jan 2018ABA awaits government action on advice reformsBy Killian Plastow
18 Jan 2018SMSF sector grows 26% in 5 yearsBy Staff Reporter
18 Jan 2018ASIC accepts EU from former Suncorp adviserBy Staff Reporter
18 Jan 2018AIOFP to visit USA on 20th anniversaryBy Staff Reporter
18 Jan 2018AMP honours 'lifetime achievers' at advice summitBy Staff Reporter
- view all