Self-funded retirees forced back to work

1 in 4 self-funded retirees have either returned or plan to return to work as a result of losses to their retirement savings, according to new research by CoreData.

The CoreData research found that 1 in 2 self-funded retires have lost 25% or more of their retirement funds (including super, excluding property) over the past 2 years due to the global financial crisis. As a result, retirees are being forced back to work and are cutting back on spending as a result of their losses.

Fewer than 15% of self-funded retirees and pre-retirees (with plans to retire within 5 years) have managed to escape loss of wealth since the global financial crisis began. 1 in 10 of the self-funded retirees in the CoreData research have lost more than 50% of their wealth (excluding unlisted property) over the past two years.

1 in 10 self-funded retirees plan to downsize their home, while 1 in 20 have already done so.

The CoreData research involved 1,082 individuals aged 50 and over.

The above article has been sourced from Money Management.

Important Information

The above information provides an overview or summary only and it shouldn’t be considered a comprehensive statement on any matter or relied upon as such. The above information doesn’t take into account your personal objectives, financial situation or needs. It’s important for you to consider these matters before making any financial decision and I recommend you seek help from a financial adviser.