Following a recent study, it has been revealed that employees are expecting to take more personal responsibility for their pension schemes as the recession made a major impact in many peoples’ retirement plans.

The results were taken from global workforce study of 20,000 employees from private sector organisations across 22 countries. It highlighted that while 37 per cent are comfortable with the responsibility of managing their retirement, 28 per cent disagreed and 34 per cent were uncertain.

Questions were asked regarding the employees current situation with regards to their pension scheme as well as their expectations over the next five years.

With regards to their current retirement planning, more than two thirds (68 per cent) of employees believe that they are personally responsible for their own retirement income needs, with 18 per cent feeling that the responsibility lies with their employer and 15 per cent saying it is the government’s responsibility.

Looking ahead over the next five years, 75 per cent of the employees who were questioned as part of the study said that they felt their pension scheme would primarily be their responsibility, with those suggesting that their employer would be responsible being reduced to 15 per cent and those citing the Government being lowered to 10 per cent.

The results also stated that more than a third of the census will continue to work during retirement due to financial reasons.

Analysts pointed out that the results of the survey showed that a majority of employees were aware of the personal responsibility for managing their finances after retirement. Despite this knowledge, it was highlighted that many employees do not actually feel comfortable managing the provision of their retirement income needs.

There are many important choices you make in life, but few are as important as the decisions you make with regards to retirement planning and the lifestyle you want to lead once you finish working.

Some people choose to make investments in stocks and shares whilst others invest shrewdly in the property market. The most common form of retirement planning and saving for many people is to make regular contributions to a pension scheme.

Following recent research into some of these pension schemes on offer, it has been revealed that the UK’s retirement savers could be missing out on an extra £742 million in tax relief by not making additional contributions to their pension schemes.

The research highlighted that employees who contributed to company pension schemes would be the most likely to miss out by neglecting to save in a tax efficient manner. Taxpayers who are part of their employers’ occupational pension scheme will miss out on an extra £742 million in tax relief through their failure to make Additional Voluntary Contributions (AVCs).

AVCs run in conjunction with pension schemes and allow employees to pay extra into their pension pot, allowing for a larger payout on retirement. This is considered a tax efficient method of saving as AVCs also benefit from the same tax reliefs as main pension plans.

Financial planners have expressed their concern that failing to plan and ultimately save for retirement has become an increasing problem for the UK population. They have also stated that this situation has not been helped by the financial chaos of the past two years in which the value of peoples savings have dropped and so others have been put off retirement planning as day to day financial worries have taken priority.

If you are seeking advice on retirement planning, or simply require investment advice in general, feel free to contact one of our financial experts on 0114 272 3994.

For some people, an integral part of their working life is planning for their retirement so they can maintain the lifestyle they currently have for years beyond their employment. A recent survey however has indicated that this isn’t a concern for a majority of people, as less than half of Britons are actively saving for when they retire.

The survey, carried out by the Department for Work and Pensions revealed that only 17 per cent of people disagreed that putting money into a pension was the best form of retirement planning. Despite this, just 48 per cent of people are currently saving for their retirement in this way.

Of all those questioned, young people were revealed to be the most likely to delay setting aside any money for future provisions when they cease working, with 80 per cent of those aged between 18 to 24 and 50 per cent of those aged between 25 and 34 currently not saving.

Despite the diminished figure of those participating in retirement planning, separate research revealed that people’s confidence in the British economy was increasing. Around 44 per cent of people are now confident that the will improve in 2010.

Experts believe that tackling the level of under-saving is a huge challenge that needs to be seriously address should Britain want to avoid widespread poverty.

The UK economy and individuals alike should be encouraged to save and plan their retirement, creating the foundations of a strong saving culture.

If you feel the time is right to participate in retirement or investment planning, please contact us on 0114 272 3994 for more advice.

In a move that could help lift up to two million British pensioners out of means tested benefits, pension’s experts are proposing a radical shake-up of the UK retirement industry.

Using the recently unveiled “Fit for Future” programme, The National Association of Pension Funds (NAPF), who currently represent 1,200 UK schemes, are hoping to reshape the country’s ailing pension and retirement industry. The programme will look to build on the Governments 2012 pension reforms, which will see employees automatically enrolled into existing employers pension schemes or into a new system of personal accounts.

In the report, the NAPF proposes that a new state “foundation pension” be introduced. This would combine the current, basic state pension and state second pension. Should this be implemented, it would be worth around £8,000 per year (£25 per week) for pensioners.

It was also suggested by the NAPF that workplace pension provision could be improved by the introduction of “super trusts” which are managed by a board of trustees. These would be offered on a regional, sectoral or national basis and add around 30 per cent to the eventual size of someone’s pension due to economies of scale.

In relation to retirement planning, the report also outlined the case for a single regulator in the UK pensions industry, combining the roles of the Pension Regulator and Financial Services Authority (FSA).

For further advice on retirement planning or investment planning in general, please feel free to get in touch with one of our expert advisors on 0114 272 3994 to see how we can help.