Putting the dream of retirement on hold

More than a third of people planning to retire in 2011 have decided to put their dream on hold due to financial limitations.

New research from Prudential, contained within their Class of 2011 survey, found that 40% of those people delaying retirement this year now think they will need to keep working until age 70 before they can afford to retire.

Those who delayed their retirement plans originally wanted to stop work (on average) at age 62 but will now keep working until age 68.

This research provides an interesting insight into the retirement habits of the nation.

The number of people who feel they cannot afford to retire as planned has increased from 15% to 22% in the space of a year.

Successful retirement is usually the result of careful planning rather than fortunate accident.

Whilst the global financial crisis and subsequent recession has hit many plans for retirement very hard, those who were most exposed to dips in the value of investments were those who did not seek professional advice to formulate and implement a suitable retirement strategy.

Taking the right steps to ensure you do not have to delay retirement dreams due to financial considerations starts with a thorough understanding of your financial requirements in retirement. This is something that every competent IFA can help with, enabling you to spend your time thinking about how you will spend your life after work.

Photo credit: Flickr/jenny downing