A recent survey conducted by the Competition and Consumer Protection Commission (CCPC) revealed that 21% of adults in Ireland do not have any financial arrangements in place for retirement. This is a concerning four percentage point increase from last year, with the absence of provision rising to 28% among those aged over 55.

While six in every 10 adults reported having a pension in place, there is still a significant pensions gap, especially among those nearing retirement age. Grainne Griffin, director of communications at CCPC, stressed the importance of setting up a pension early, even with small contributions.

Despite affordability being a common reason for not having provision for retirement, many individuals plan to rely on the State pension or savings to fund their later years. However, by not taking advantage of the tax benefits that pension plans offer, they may be missing out on long-term financial gains.

The survey also highlighted that a majority of respondents have never consulted a financial advisor about retirement, indicating a lack of awareness about pension planning.

With pension auto-enrolment on the horizon, it is essential for individuals to start planning for their retirement to ensure a comfortable future. Don’t wait until it’s too late!