Early retirement hopes dashed

MikeJones_2

Latest research from Life Trust reveals that ‘…one in 10 adults currently working feel that, in light of the current economic crisis, they now expect to have to delay their retirement by as much as five years.’

Many people with defined contribution schemes who intended to retire early will have mis-timed the downturn in the markets. Many of those with defined benefit schemes may have found out too late that the scheme has withdrawn early payment on special terms or even pulled the option to early retire altogether.

What this illustrates is the constant need to review pension arrangements – what they provide: what they offer and as importantly what they don’t.

The events over the last 18 months may not have been entirely predictable but examining retirement plans every three or five years clearly may not have worked if you’re coming up to retire now. See:
- Early retirement becoming increasingly unattainable (FTAdviser)
- One in three fear poor retirement income will lead to early grave (Telegraph.co.uk)

Mike

I work in the field of Pension Education and Pension Guidance in the UK. I am a member of the Specialist Pensions Forum as well as being a Voluntary Adviser for The Pensions Advisory Service. I work with scheme members, employers, trustees, scheme administrators and advisers on most things to do with employer sponsored pension schemes. The views expressed by me in this thread are my personal opinions. You should seek professional advice from an appropriately experienced and qualified adviser. I am not an IFA.