07 July 2008
According to a report published last week by LV=, the Friendly
Society and life assurer, seven out of 10 over-50s say they are
unsure how to plan their affairs as they are finding it difficult
to keep up with changing tax and pensions laws.
However, despite so many people approaching retirement admitting
there are obstacles to making the most of their money, 56% of those
questioned had taken no professional finance advice. That could
mean that 5.5 million people are entering retirement without
adequate guidance.
Only 22% of those surveyed had consulted an independent financial
adviser by the time they reached 60. It is crucial that people seek
guidance at crunch times over saving for their retirement.
Professional, paid advice will be important for many savers.
However, many savers are not realising their basic rights, for
example the right for savers with money purchase pension plans to
take an annuity from the best provider on the market not just the
one they are currently saving through. With pension rules changing
in recent years, seeking guidance is becoming more important, not
less.
Source: Financial Times
