Mid- Life MOT could bring commercial benefit

The Mid Life MOT could bring a “commercial benefit” to businesses, Pension Minister Guy Opperman has stated.

Speaking at the annual conference, Opperman said, “The evidence will show absolutely conclusively that if you wish to retain your people, the 20 year people who have absolute muscle memory of your business, if you wish to have a real understanding of how you are going to have the people who are 40, 50, 60 continuing to work in your business and making sure that they continue to push your business forward, then a Mid Life MOT is something that helps them do that”.

Our Mid-Life Seminars can be held on site or if enough interest is shown, we can organise a seminar, locally, at a suitable venue when people from many companies and organisations can get together and discuss various subjects in Mid Life.  Our Mid Life seminars point the way with information on:-

Providing for the Future

Improving Pension

College/University Fees

Wills and passing money to children

The Seminar will give you the opportunity to:

Provide for the future

Help engender a more positive attitude to life after employment

Provide relevant information, or means to discover it

Help identify the skills and resources that will be required for the third age

Thousands at risk of missing out on extra pension income

More than three quarters (76 per cent) of people over 55 do not know that medical conditions or lifestyle choices could increase the money they receive from an Annuity.

The Price of Freedom Research has shown that many retirees could be losing out on a higher pension income by not disclosing health issues or lifestyle choices, such as drinking or smoking.

A Survey of 2,000 over 55s also found that 8 per cent believed that ill health would reduce the amount of money they receive in retirement, whilst a further 18 per cent thought it wouldn’t make any difference to how much they get when they retired.

People with health conditions, as well as smokers and drinkers, stand to benefit from better annuity rates – but only if they disclose everything to their financial adviser or annuity company.

A potential cause for concern was that 5 per cent believed that telling an annuity provider about a medical condition would lead them to having their application rejected.  Also, a large number of people approaching retirement were unsure of what an annuity was.

It’s important for everyone approaching retirement to consider attending a Pre-Retirement Seminar when all these questions, queries and uncertainties will be explained in full.

Women’s Pension pot five times lower than men’s

The average pension pot for a woman in the U.K. is five times less than a man’s, a new research from the Chartered Insurance Institute (CII) has found.

In its report published on 24th October 2018, CII said that the average pension pot for a 65 year old woman is £35,800, one-fifth of a man’s, while the average cost for care for women aged 65-74 is £70,000 compared to £37,000 for men.

According to the report, solving women’s pension deficit to improve retirement outcomes for all, the deficit is a result of “British social attitude and cultural norms regarding women’s status in our society.”

Jane Portas said “This report is a call to action for each and every one of us, woman or man, son or daughter, friend or colleague, policymaker, pension provider, financial planner or employer.  We all have a role to play in improving women’s pension deficit”.

Today a young woman in the UK can expect to highly achieve educationally, work through raising children until she is 70, save hard for her pension and yet risk facing financial insecurity in later life.

The division starts early in life, as 52 per cent of women in their late 20s say they do not understand enough to make decisions about retirement savings, compared to 38 per cent of men.  Furthermore, 75 per cent of employees that fall below the auto-enrolment threshold are women.

Pension Providers and employers have a crucial role to play in raising awareness and improving engagement, and the advances in technology has made this more straightforward than ever before.  By seizing the opportunities unlocked by Open banking, providers can use data to give people a truly holistic overview of their finances.

The NDPRC are doing their bit by encouraging employees to attend Mid-Life Planning Seminars at around 30 – 45 years of age and then attend a Pre-Retirement Seminar when within 3/5 years of intended retirement date.