A third of millennials not saving for their future

Their research found that 3 in 10 millennials aren’t saving into a pension pot at all, 1 in 4 find pension rules very confusing.

The pension provider wanted to learn more about the younger generations, and their attitudes and behaviours towards saving for retirement.

More than half (53%) said they wished their employer would explain pensions and their benefits to them.

The results also showed that 23% of millennials admitted they weren’t sure if they were on target for retirement saving.

It seems millennials are not aware of the options available to them, with 28% of those questioned expressing a lack of confidence with money and financial matters.

More than a third (37%) of millennials believe they are saving as much as they can, yet still don’t believe it’ll be enough to retire comfortably on. A further 16% don’t think they will ever have enough money saved to afford to retire.

Despite these figures, the number of millennials paying into a pension has been boosted in recent years. 

The introduction of the auto-enrolment scheme has provided access for millions of workers to workplace pensions unless they actively opt-out. Automatic enrolment has almost doubled the participation of 22-29-year-olds saving into pensions, according to research by the Pensions Policy Institute.

Jordan Mayo, CEO at Profile Pensions said:

“Unfortunately, what we’ve seen here is that while the majority of young people are, quite rightly, investing time into understanding what their pensions mean for them, there is still a large amount of the millennial generation who feel uneducated when it comes to saving for retirement. 

There is a wealth of information on pensions out there, but making sure the right stuff reaches young people in a way that’s engaging and informative, is what we need to work towards together.” 

Author: Editorial Team

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