Almost three quarters (73%) of adults said that the Covid-19 pandemic has made them realise whilst pensions are important, having savings they can easily access is equally important, according to a recent survey from workplace savings fintech firm Cushon.
Although concerns around retirement have dropped, many people remained concerned about other finances. What people worried about is closely related to age with 22.5% of under 35s worried about how they will afford to buy a new home.
The report from Cushon said that retirement is a long way off for some individuals and between now and then there are a lot of expensive life events to deal with first, all of which are going to seem a lot more important than an event that’s possibly 30-plus years away.
Steve Watson, head of proposition of Cushon, said: “Financial wellbeing is an important part of the employee benefit mix – thanks to auto-enrolment most employees now have a pension but saving for retirement is not a priority for everyone. Employees – young and old – need to be supported throughout their working lives and a good financial wellbeing programme can provide this.
“The reality for a lot of younger employees is that getting on the housing ladder is more important than planning for retirement. This isn’t to say that pensions aren’t important, they just aren’t a priority. By helping employees deal with the most pressing needs first, employees will engage more with the longer- term stuff like planning for retirement.”
The report was pulled together with the help of two surveys. Cushon‘s Financial Resilience research was conducted amongst 2,000 individuals and 1,000 HR Managers in May 2020. Cushon’s Workplace Savings research was conducted amongst 1,248 individuals and 508 HR professionals in April 2019.