... perceptions across both countries, by acknowledging the need to save for retirement and the insecurity of future state pensions. The findings also show that English respondents make use of private saving for their retirement significantly more than their Italian counterparts.
Increasing longevity and falling fertility rates have prompted European policymakers to shift the responsibility for retirement funding to individuals. Governments, independently of their political ideologies, are committed to sustainable pension systems by encouraging private saving for retirement. This article uses a quantitative approach to investigate individual saving behaviour in Italy and in the UK and present evidence of the factors determining saving for retirement in the two countries. It questions whether differences in pension policies and attitudes are accentuated or lessened by common demographic and social factors and examine the possibility of cross-national saving policies. The analysis suggests that cohorts identified by homogeneous demographic features present converging perceptions across both countries, by acknowledging the need to save for retirement and the insecurity of future state pensions. The findings also show that English respondents make use of private saving for their retirement significantly more than their Italian counterparts.
Corporate Document Services; Great Britain. Department for Work and Pensions
Publication year:
2006
Pagination:
110p.
Place of publication:
Leeds
This summary presents findings from qualitative research carried out with employers towards the concept of automatically enrolling people into personal pension accounts and employers' likely responses if the new scheme were introduced. The research adopted a wholly qualitative approach. Face-to-face depth interviews were conducted with: 75 private sector employers who employ individuals within a business context; eight individuals who employ others to provide a service in a non-business context.
This summary presents findings from qualitative research carried out with employers towards the concept of automatically enrolling people into personal pension accounts and employers' likely responses if the new scheme were introduced. The research adopted a wholly qualitative approach. Face-to-face depth interviews were conducted with: 75 private sector employers who employ individuals within a business context; eight individuals who employ others to provide a service in a non-business context.
Corporate Document Services; Great Britain. Department for Work and Pensions
Publication year:
2006
Pagination:
48p., bibliog.
Place of publication:
Leeds
The review suggests that a significant part of the savings generated by personal accounts will be ‘new’ savings; these are contributions made by those currently not saving at all or who will increase their savings as a result of introducing personal accounts. Based on the balance of research evidence considered, a plausible assumption about the impact of personal accounts on household savings would be that 50-70% of personal account contributions will be new (i.e. 30-50% would be offset by lower household savings elsewhere). The research considered also finds that levels of new savings are likely to be concentrated among the target group for personal accounts, as offsets tend to vary by income with those on lower income showing lower offsets and thus higher levels of new savings
The review suggests that a significant part of the savings generated by personal accounts will be ‘new’ savings; these are contributions made by those currently not saving at all or who will increase their savings as a result of introducing personal accounts. Based on the balance of research evidence considered, a plausible assumption about the impact of personal accounts on household savings would be that 50-70% of personal account contributions will be new (i.e. 30-50% would be offset by lower household savings elsewhere). The research considered also finds that levels of new savings are likely to be concentrated among the target group for personal accounts, as offsets tend to vary by income with those on lower income showing lower offsets and thus higher levels of new savings
Subject terms:
literature reviews, pensions, personal finance, savings, families;
Reports on research to examine the relationship between income, wealth and the experience of retirement of low-income older households. The study analysed data from Wave 6 (2012-13) of the English Longitudinal Study of Ageing (ELSA). It found that different levels of low income, around or below the government's guaranteed minimum income level for older people, do not lead to different experiences of retirement. However it found that non-housing wealth, such as 'buffer savings', are what makes the difference in people's experiences of retirement. Statistically significant relationships were identified between non-housing wealth and older people's experience of retirement in relation to: health and mental wellbeing, participation in leisure activities, participation in the community, and other aspects of life satisfaction. The findings show the importance of 'buffer savings' in supporting the wellbeing of poorer older
people and the important role of savings policy in ensuring that as many people as possible enter retirement in possession of buffer savings, in addition to pension savings.
(Edited publisher abstract)
Reports on research to examine the relationship between income, wealth and the experience of retirement of low-income older households. The study analysed data from Wave 6 (2012-13) of the English Longitudinal Study of Ageing (ELSA). It found that different levels of low income, around or below the government's guaranteed minimum income level for older people, do not lead to different experiences of retirement. However it found that non-housing wealth, such as 'buffer savings', are what makes the difference in people's experiences of retirement. Statistically significant relationships were identified between non-housing wealth and older people's experience of retirement in relation to: health and mental wellbeing, participation in leisure activities, participation in the community, and other aspects of life satisfaction. The findings show the importance of 'buffer savings' in supporting the wellbeing of poorer older
people and the important role of savings policy in ensuring that as many people as possible enter retirement in possession of buffer savings, in addition to pension savings.
(Edited publisher abstract)
Subject terms:
low income, older people, wellbeing, quality of life, savings, pensions;
This brief explores the challenges posed by recent pension reforms, which have introduced flexibility in the defined contribution arena and opened up income options for retirees by allowing access to more of their savings through changes to flexible drawdown and trivial commutation rules. The state pension has also been overhauled with the introduction of a flat rate state pension of £144-a-week from April 2016 (to those who are eligible). While the reforms have been broadly welcomed they are not a panacea to the problems created by the UK’s ageing population and in fact present new challenges. This brief addresses a number of issues including: people’s underestimation of their longevity; under saving; the possibility that people may leave their pension funds as cash savings; and the need for people to work longer. For each of these challenges, the paper briefly outlines key solutions.
(Edited publisher abstract)
This brief explores the challenges posed by recent pension reforms, which have introduced flexibility in the defined contribution arena and opened up income options for retirees by allowing access to more of their savings through changes to flexible drawdown and trivial commutation rules. The state pension has also been overhauled with the introduction of a flat rate state pension of £144-a-week from April 2016 (to those who are eligible). While the reforms have been broadly welcomed they are not a panacea to the problems created by the UK’s ageing population and in fact present new challenges. This brief addresses a number of issues including: people’s underestimation of their longevity; under saving; the possibility that people may leave their pension funds as cash savings; and the need for people to work longer. For each of these challenges, the paper briefly outlines key solutions.
(Edited publisher abstract)
Subject terms:
pensions, retirement, older people, life expectancy, employment, savings;
Hong Kong Journal of Social Work, 44(2), Winter 2010, pp.89-104.
Publisher:
World Scientific Publishing Company
Place of publication:
Singapore
Southeast Asian countries are experiencing a rapid aging of the population. This study investigated the formal and informal financial security protections of the elderly and how that compares with financial security preparedness of the younger generations in Malaysia, Singapore and the Philippines. The role of family support as important source of old-age protection in Asian countries was also investigated. Data were collected by means of interviews of working people aged 18 to 59 years and elderly people aged over 60 years in all 3 countries. The participants were: 250 working and 250 elderly people in Kuala Lumpur, Malaysia; 250 working and 250 elderly people in Manila, Philippines; and 206 working and 161 elderly people throughout Singapore. Venn diagrams were constructed to analyse the overlapping of availability of the various financial security protections for the 2 generations and their relative sizes among the 3 regions. The findings showed similar financial protection in all 3 countries. There was general agreement on the inadequacy of the formal old-age benefits, and many participants reverted to informal protections such as insurance, savings and family support. With the exception of Manila, reliance on the family support as perceived by the younger generations has lost its importance.
Southeast Asian countries are experiencing a rapid aging of the population. This study investigated the formal and informal financial security protections of the elderly and how that compares with financial security preparedness of the younger generations in Malaysia, Singapore and the Philippines. The role of family support as important source of old-age protection in Asian countries was also investigated. Data were collected by means of interviews of working people aged 18 to 59 years and elderly people aged over 60 years in all 3 countries. The participants were: 250 working and 250 elderly people in Kuala Lumpur, Malaysia; 250 working and 250 elderly people in Manila, Philippines; and 206 working and 161 elderly people throughout Singapore. Venn diagrams were constructed to analyse the overlapping of availability of the various financial security protections for the 2 generations and their relative sizes among the 3 regions. The findings showed similar financial protection in all 3 countries. There was general agreement on the inadequacy of the formal old-age benefits, and many participants reverted to informal protections such as insurance, savings and family support. With the exception of Manila, reliance on the family support as perceived by the younger generations has lost its importance.
Subject terms:
insurance, older people, pensions, personal finance, retirement, savings, families;
This article provides a brief overview of five small financial inclusion research projects which focus on how factors and policies inhibit or encourage personal autonomy and social mobility, specifically in the area of ethnicity. The projects are in the areas of: bank machines and ethnicity; assets and ethnicity; savings; financial advice; and pensions.
This article provides a brief overview of five small financial inclusion research projects which focus on how factors and policies inhibit or encourage personal autonomy and social mobility, specifically in the area of ethnicity. The projects are in the areas of: bank machines and ethnicity; assets and ethnicity; savings; financial advice; and pensions.
Subject terms:
pensions, personal finance, savings, social inclusion, black and minority ethnic people, ethnicity;
Corporate Document Services; Great Britain. Department for Work and Pensions
Publication year:
2007
Pagination:
101p.
Place of publication:
Leeds
This report presents findings from research that explored the attitudes of people aged 16 to 29 to saving, retirement and pensions. The research was undertaken in late 2006 to help identify ways of encouraging and enabling young people to save, particularly for their retirement.
This report presents findings from research that explored the attitudes of people aged 16 to 29 to saving, retirement and pensions. The research was undertaken in late 2006 to help identify ways of encouraging and enabling young people to save, particularly for their retirement.
Subject terms:
pensions, personal finance, retirement, savings, young people, attitudes;
... and income poor; the boomers themselves, who have either recently entered retirement or are approaching that point, often labelled as having had it all – housing, final salary pensions and the promise of generous pensioner benefits to come; and the post-boomers, a group in their 40s and early 50s, perhaps the last generation to have invested in property on a large scale but less likely to be able to rely
(Edited publisher abstract)
This white paper from the ILC-UK considers how recent successes in poverty reduction at older ages could be undermined in the absence of a long term strategy for later life funding. Key risk factors include: continuing reductions to social care budgets; variations amongst the baby boomers with nearly 1 in 3 having no pension wealth whatsoever; and the continued uncertainty about whether those who are in their 40s today, will be able to depend on the state in the future to provide adequate levels of support given the rising fiscal pressures of supporting an ageing population. The paper provides a detailed analysis of current and future retires, which are split into three distinct groups: the pre-boomers – now in their mid-70s and older, many requiring long-term care and generally, at best, asset rich and income poor; the boomers themselves, who have either recently entered retirement or are approaching that point, often labelled as having had it all – housing, final salary pensions and the promise of generous pensioner benefits to come; and the post-boomers, a group in their 40s and early 50s, perhaps the last generation to have invested in property on a large scale but less likely to be able to rely on final salary pension schemes to generate an income in retirement. Each of these groups face different sorts of challenges and the paper outlines possible solutions. It argues that a strategy for later life funding must: secure effective funding for adult social care; implement the Dilnot reforms; find ways of ensuring the provision of mass market financial advice; develop default options for those who “sit on their pension pots and do nothing”; be clear around what constitutes the deliberate deprivation of assets within the context of the new pension freedoms; incentivise downsizing; support innovation in the equity release market; and support policy which extends working lives.
(Edited publisher abstract)
Subject terms:
older people, low income, pensions, poverty, adult social care, financing, savings, ageing;
Aging and Mental Health, 15(5), July 2011, pp.654-662.
Publisher:
Taylor and Francis
This study assessed whether those leaving the workforce early through mental health problems have less savings by the time they reach retirement age. Data were obtained from Health & Wealth MOD - a micro-simulation model of Australians aged 45-64 years that predicts accumulated savings at age 65. Findings revealed that females who retired early due to depression have an average value of total savings by the time they are 65 of $300. For those with more serious mental health problems the figure was $0. This is far lower than the average of $227,900 for females with no chronic condition who remained employed full-time. Males showed similar differences. Both males and females who were out of the labour force due to depression or other mental health problems had at least 97% less savings and retirement income by age 65 that those who remained employed full-time. The authors concluded that those who retire early due to mental health problems will face long term financial disadvantage.
This study assessed whether those leaving the workforce early through mental health problems have less savings by the time they reach retirement age. Data were obtained from Health & Wealth MOD - a micro-simulation model of Australians aged 45-64 years that predicts accumulated savings at age 65. Findings revealed that females who retired early due to depression have an average value of total savings by the time they are 65 of $300. For those with more serious mental health problems the figure was $0. This is far lower than the average of $227,900 for females with no chronic condition who remained employed full-time. Males showed similar differences. Both males and females who were out of the labour force due to depression or other mental health problems had at least 97% less savings and retirement income by age 65 that those who remained employed full-time. The authors concluded that those who retire early due to mental health problems will face long term financial disadvantage.