Freedom and choice in pensions revolutionised the world of retirement income and gave individuals greater control over their retirement plans – but with this comes increased risk and responsibility for all.
With this in mind, WEALTH at work conducted a survey* with Pensions Management Institute (PMI) to investigate what Trustees are doing to support pension scheme members as they make decisions to access their retirement savings.
Please click here to view the results.
Key findings include;
- 85% of Trustees have concerns on the risks their members face if they transfer out of their defined benefit schemes.
- 88% of Trustees fear their members nearing retirement will face predatory attention from scammers.
- 81% of Trustees believe members are not equipped to deal with the taxation implications of accessing their pension.
- 63% of Trustees worry about a lack of engagement from their members.
- 60% of Trustees are concerned that their members’ money will not last the duration of their retirement.
The report suggests that these concerns and risks could be mitigated by providing more support for members at-retirement which includes offering financial education, guidance and access to regulated advice, as well as helping members to implement their chosen retirement income option(s).
For more information, please contact us.
* The survey received 65 responses from a range of Trustees which were completed online and via paper over 4 months from December 2018 until March 2019. Figures have been rounded to the nearest whole number or to one decimal place where appropriate.