A survey conducted by Wells Fargo revealed that 22 percent of the middle class Americans say they prefer an early death to retiring without enough money to help them live a comfortable life. This is just how depressing the situation has been for people not just in America but also at other different countries. After retiring, the primary source of income for most citizens in the different countries are mostly their personal savings. Only a minority 30 percent would rely on social security as their primary sources of income.
The ‘cost’ of retirement over the years has been on the increase due to various reasons, prime of these include the depreciating value of currencies due to factors such as inflation, increase in debts accrued by individuals such as mortgages and loans.
Many countries are now reviewing their retirement ages upwards with Australia recently proposing to increase their retirement age to 70 just a few months after Greece undertook austerity measures and rose their official retirement age to 67 like Denmark from the previous 65. Finland has their retirement age set at age 68 an increase from 62. The lowest retirement age in the world is 58 which is in Nepal, with these ages being the bare minimum before one can claim a pension.
An emerging trend over the years has been people who think they are going to retire with less money opting to choose two or more other jobs as they have the option of either working longer or working on various jobs in a day or accepting to live on a low standard of living whilst only depending on the governments social security.
People should therefore, perhaps choose the kind of retirement lifestyle they would want to live, and start saving early to prevent finding themselves in those difficult scenarios where they need to make that hard choice between working longer hours or choosing to live a poor lifestyle after retirement.
Here at Credence we can help with most Nationalities and planning for most financial milestones. We have advisors from all disciplines and experience in most circumstances. Get in touch and we will be happy to help you.