What does an ageing population mean for retirement?

1. What Does An Ageing
Population Mean for
Retirement & Pensions?

2. In the UK, almost 12 million people are at retirement age, or older. As life
expectancy becomes higher every year it is no surprise that the elderly are
beginning to outnumber the young.
In the last 100 years the life expectancy in the US has extended over 30 years.

3. The increase in life
expectancy can be
attributed to a
number of changes
working together
including better
medication and
improved standard
of living.

4. As a result, we are seeing societies
attempting to deal with the issues of an
ageing society for the first time.

5. An ageing population has
implications for a number
of areas.
Primarily, they affect
governments who must
consider how to pay for
pensions when people
are in retirement for a
longer time and there are
less people contributing
through tax.

6. Traditionally people did not live that long after exiting the workplace.
Nowadays however many people live 20, 30 or 40 years after retiring.
For some people the solution to the stretch in social security is for the
workforce retire later so they can save more into a pension pot.
However for some people this is not possible due to physical and mental
health constraints.

7. There are ways round this however, such as reallocating tasks, part
time work, or moving the older generations into mentoring roles to
allow the younger generations to take their old roles.

8. Another solution is to encourage the younger
generations to save more into a pension pot.
By increasing monthly savings they will be
able to build a better retirement and financial
future for themselves, and their families.

9. To ensure that this can happen it can be
beneficial to seek pension advice from a
professional financial adviser. They will be
able to help you find the right plan to
maximise your savings.