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Kate Smith, Head of pensions at Aegon comments on ONS statistics from its Wealth and Assets Survey |
“Thanks to auto-enrolment pension saving is becoming the norm, with almost half of employees believing that pensions are the safest way to save for retirement. But there is more work to do to improve employees’ pension knowledge and understanding. Only 42% of people feel that they know enough about pensions to start making decisions about retirement saving. Unsurprisingly the youngest age group, aged between 16 and 24, felt the least equipped, many of whom won’t meet the age or earnings criteria to be auto-enrolled into a pension. “Most disappointing is that only 63% of employees were aware they had been auto-enrolled into a pension. For people to achieve the retirement they aspire to as a society we need to talk more openly about the value of saving for retirement and encourage more people to take personal responsibility for pension saving. This includes making people aware that they have a pension in the first place, and how much they pay in.” |
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