£10,900 per year is insufficient for a comfortable retirement — here’s what pensioners actually want.
£10,900 a year is insufficient; here’s what pensioners really need to enjoy their golden years.
THE MINIMUM BASE INCOME REQUIRED FOR BRITS TO RETIRED IS £10,900 PER YEAR, BUT HOW MUCH DO YOU NEED TO ENJOY YOUR GOLDEN YEARS? According to fresh numbers, the exact amount is now known.
As the cost of living issue strikes, retirees are on the front lines. Many folks are on fixed incomes and cannot afford to pay extra for food or gasoline. “Inflation is eroding every single pound they get,” Victoria Scholar, head of investment at Interactive Investor, said.
Those who are working now and investing for retirement have no idea how much money they will require when they retire.
The UK Retirement Living Standards survey now aims to provide participants a clear idea of how much money they would need in retirement.
In 2021, it is anticipated that a single person will need £10,900 per year to live well in retirement, while a couple will need £16,700.
This will only cover the essentials of life, but it is still a lot more than the new basic State Pension for people who retired after April 2016.
This pays only £9,339 per year, which is £1,561 less than the bare minimum.
People on the old basic State Pension, which paid £137.60 per week to people who retired before April 2016, have it much harder.
This is only worth £7,155 a year, or £3,745 less than what people need to get by.
You’ll need to save enough money for a pension and other kinds of income if you want a higher quality of living in your later years.
According to study undertaken by Loughborough University for the Pensions and Lifetime Savings Association, a single person will need £20,800 per year in retirement, rising to £36,000 for a couple.
According to Matt Padley, associate director of CRSP, who conducted the study, this income would cover occasional meals out and a Netflix membership. “These are now necessary for feeling linked to the rest of the world.” To retire comfortably, a single person will need £33,600 per year, while a couple will need £49,700.
The research was completed before to the recent increase in inflation, and retirees will need much more money in the following year.
The government’s controversial decision to repeal the triple lock will leave many people behind. “Brinkwire News Summary.”