Alan Moran’s Post

One in four elderly people in the UK are currently living in poverty. This alarming statistic is expected to rise as the cost of living continues to increase. Can you imagine being forced to work until the age of 71, as this report suggests? Not everyone will be mentally or physically capable of working until then. This situation highlights that we cannot rely solely on government support once we are unable to work. Private pensions and personal savings are essential for providing supplementary income when we choose to retire. Contact me if you’d like to learn more about effective financial planning for the future. #RetirementPlanning #SecureYourFuture #WorkLifeBalance

The gender pensions gap has fallen from 52 per cent since 2008 for those aged 50-64, but is still substantial at 33 per cent, a report by pension firm Scottish Widows reveals. If progress continues at this rate, it will take another 20 years for women to retire on the same annual income as men, it warns. https://bit.ly/3ABW1VO #genderpensiongap #inequality #pensions #retirement

The #UK is #ageing steadily as the large Baby Boomer generation arcs towards #retirement and birth rates among younger people continue to fall. In this week's #InTheKnow blog, Rathbone #Income Fund co-manager Carl Stick argues these shifts are already exerting immense pressure on so many aspects of life and the #economy: pensions, taxation, vital services like healthcare, the jobs market, you name it… #RathbonesAssetManagement #UKEquityIncome

We are featured in today's The i Paper talking about the inequalities in pensions incomes, which was highlighted in our State of Ageing report. https://lnkd.in/egDGN4t6

The demographic time bomb facing Britain’s state pension system is about to explode. As the last of the Baby Boomers turn 60 this year, a tidal wave of retirements will strain the pension system to the breaking point. Check out our recent article which explores this further: https://bit.ly/49rQsop #ukpension #statepension #pensions #pensionnews

Analysis of data at the national level shows that the shift away from pensions to 401(k)-style plans has increased income inequality, according to a new study from NCPERS. https://lnkd.in/eDf99kjP The just-released study, The Hidden Costs of Pension Reforms: Rising Income Inequality, Lagging Economic Growth, examines the relationship between pension reforms (consisting primarily of benefit reductions) in both the private and public sector, income inequality, and economic growth. The study finds that policies that reduce pension benefits or promote transitions to defined contribution plans, which are usually implemented to save money, may end up costing more due to the dynamic interrelationship between pension reforms, income inequality, the economy, and market returns. “This study aims to shine a light on the far-reaching effects of cutting pension benefits or closing plans. Rising income inequality in turn slows the economy, reducing growth in GDP by 2 to 4 percentage points annually. Policy makers need to consider the larger costs of these so called ‘pension reforms' before implementing such consequential changes,” said Hank Kim, executive director and counsel, NCPERS. #publicpensions #NCPERS #incomeinequality #unions

This report from Ontario’s Pay Equity Office examines the root causes of the gender pension gap. It’s an interesting and detailed look at different factors that combine to produce lower pensions for women. Two major obstacles emerge in the research – Canada’s increasing reliance on private pensions, and women’s unequal share of unpaid family care work. 

Interested in how labelling can affect individual behaviour? Then have a read of our latest research published in the Journal of Economic Behaviour and Organisation which exploits a reform in Finland which took place in 2004 analysing the 'relabelling' of a disability pension without changing eligibility criteria that lead to a 37% (39%) reduction in applications (successful claims). We find individuals with below tertiary level education and stronger lifetime labour market attachment exhibit a stronger behavioural response to the reform. We also find tentative evidence of individual's bringing forward the age at which they substitute to a competing early retirement pathway designed to keep individuals in the labour market albeit on a part time basis. Our findings highlight the importance of targeted awareness building aimed at particular socioeconomic groups such as those with low levels of education when policymakers seek to consolidate early retirement programmes with differing pre-reform eligibility criteria. Link to the full paper: https://lnkd.in/ex8yf5yU Satu Nivalainen Noora Järnefelt Kuivalainen Susan Eläketurvakeskus – Finnish Centre for Pensions University of Bath #disability #pensions #publicpolicy 

1 in 4 elderly people in the UK are already living in poverty. This is a shocking statistic and only expected to grow as the cost of living continues to increase. Imagine being forced to work until 71 as this report suggests? Is everyone going to be mentally or physically capable of working until age 71? Unlikely, but it proves the point that we simply cannot rely on the government to fund us when we are no longer able to work. Private pensions and personal savings are the only way we can provide supplementary income for ourselves when we want to stop working. Drop me a message if you’d like to understand more about how to effectively plan ahead. #financialplanning #finalsalarypension #definedcontributionpension #definedbenefitpension #fiscaldrag #taxallowances #ukpensiondeficit #ukpensioncrisis #ukinterestrates #financialsecurity #ukpensionplanning #ukpensionsforexpats #brexitoutcomes #retirementplanning