Only One in Three Pre-Retirees Feel Confident Their Retirement Savings Will Last Throughout Retirement
New Aviva Life & Pensions Ireland (Aviva) report highlights a ‘retirement confidence gap’ between preparing for retirement and feeling financially ready for it
Aviva partners with rugby coach and former Ireland international Bernard Jackman on its new ‘The Second Half’ campaign to help people approach retirement with confidence
Key findings:
- Only 36% of pre-retirees are confident that their retirement savings* will last throughout retirement
- Nearly two in three retirees (63%) say they would change something about how they prepared for retirement
- More than half (57%) of people approaching retirement have never considered how many paydays they have left before retiring
- Only 15% know exactly what their pension is worth
- Nearly six in ten (59%) believe their retirement savings will need to last 16 years or more
- Just 39% of people approaching retirement feel they have done a good job preparing for it
- Among those expecting to retire after the typical retirement age (65), 65% say they do not believe they will have enough money saved to retire at their ideal age
Aviva Life & Pensions Ireland (Aviva) has today released a new report that examines how prepared people feel for retirement and how confident they are about their financial future. The report reveals that only 36% of pre-retirees are confident their retirement savings will last throughout retirement.
The report, based on research among 512 adults aged 50 and over**, reveals that while most people are saving for retirement, many remain unsure whether they have enough put aside for later life. Of those surveyed, 255 people were approaching retirement (aged 50-65) and 257 were retirees (aged 65 and over).
Only 36% of people approaching retirement are confident their retirement savings will last throughout retirement, while just 39% feel they have done a good job preparing for retirement. The findings also show that almost two in three retirees (63%) would change something about how they prepared for retirement.
The report identifies a ‘retirement confidence gap’ between taking action to prepare for retirement and feeling financially ready for it.
Longer Retirements, Greater Uncertainty
The Aviva research suggests many people recognise the financial realities of a longer retirement but are unsure whether they are on track.
As people live longer*** and can expect to spend more years in retirement than previous generations, someone retiring at age 65 may need their retirement savings to support them for 20 to 25 years, and potentially longer. However, only 38% of people approaching retirement have planned for their retirement savings to last 20 years or more.
Among those who expect to retire later than their ideal retirement age, 65% say it is because they do not believe they will have enough money saved or be financially ready to retire.
Many People Lack a Clear Picture of Their Pension
The findings also highlight gaps in people's understanding of their pension and retirement planning.
More than half (57%) of people approaching retirement have never considered how many paydays they have left before retirement, while only 15% know exactly what their pension is worth.
The research also found that:
- 46% do not know how their pension is invested
- Only 44% feel confident making investment decisions
- One in three (33%) have not decided how they will use their pension savings in retirement
- While 78% know they can take a tax-free lump sum from their pension, only 20% know how much they can take
- Encouragingly, 61% say they would save differently if they realised they had fewer paydays left before retirement than they currently think.
Learning From Those Already Retired
While many retirees are enjoying retirement, the research shows there are important lessons for people who are still preparing for it. Most retirees say their income meets their needs, but many have faced higher living costs and unexpected expenses. The findings suggest that feeling confident in retirement is not just about saving money. It's also about understanding how long your savings need to last and whether they will support the lifestyle you want.
The Second Half
To help people approaching retirement better understand their options, Aviva has partnered with rugby coach and former Ireland international Bernard Jackman, who turned 50 this year, on its new The Second Half campaign. Inspired by the idea of half-time in sport, the campaign encourages people to pause, take stock of their retirement plans and make informed decisions about the years ahead.
Through a series of videos and practical content, The Second Half helps people approaching retirement feel more confident about their financial future. To learn more, visit Aviva's Pension Coach.
"Many people are saving for retirement, but our research suggests there is often a gap between taking action and feeling confident those preparations will be enough. Understanding what you have saved, reviewing your plans regularly and seeking advice where needed can help people feel more confident about their financial future."
Stephen Rice, Propositions Lead, Aviva Life & Pensions Ireland, commenting on the findings
Bernard Jackman added: ''In rugby, the second half is where preparation starts to pay off. But first comes half time, a chance to take stock, adjust and focus on what's ahead. Turning 50 this year has made me think about that in a personal way. I've learned a lot through this campaign and would encourage people to pause; look at their retirement plans and understand the decisions they can make today to help shape their future."
For more information and to read the report in full, visit here.
ENDS
*the term retirement savings refers to all the money you may rely on in retirement, including your pensions from work and/or paid by government, savings and investments. The term pension refers to money saved in a pension plan, such as a workplace pension, personal pension or PRSA.
**according to research of 512 adults conducted by RedC Research & Marketing on behalf of Aviva Life & Pensions Ireland, 2026.
***according to Irish Fiscal Advisory Council (IFAC) projections.