Are you banking on inheritance for your retirement?

A recent survey has revealed that at least one third of people in the UK are banking on receiving an inheritance to fund their retirement.

Out of the people surveyed only 54% can completely rule out needing an inheritance to fund their retirement.

The survey also found 40% of people either expect an inheritance or have already received one. The younger people are, the more they expect to receive an inheritance. On the flip side only 30% of people plan to leave an inheritance.

Vulnerable groups

There are sub-groups particularly reliant on an inheritance to fund retirement – including women (37% compared to 32% of men). The reason for this may be because they tend to have less in their pension pots, due to taking time away from work for caring responsibilities and living with lower average wages.

The percentage of people who need an inheritance to fund retirement tends to fall in the years (35-54) at 41%. This is probably down to the years where people are more likely to have a young family. Many of them don’t feel they have time to play catch up with retirement savings, so think they’ll need an inheritance to make up that shortfall.

Higher earners are also more likely to be relying on an inheritance to fund retirement – 37% of higher rate taxpayers are, compared to 30% of basic rate taxpayers. Higher earners have got used to a better standard of living – which won’t be covered by their pension – so they again need to make up the gap.

Planning for your retirement is vital, so please do not hesitate to contact Complete Estate Protection today.

If you’re based in Middlesbrough or anywhere in the surrounding areas, we can assist with Wills, Probate or any other probate, power of attorney or trust guidance you may require please contact 01642 493101 or email info@ceprotection.com.