More than Half of Parents Prefer to Change Nappies than Manage Pension Pots
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A recent survey conducted by This is Money has revealed that over half of parents would prefer to perform mundane parenting tasks such as changing nappies, doing the school run, or helping with homework rather than managing their pension pots. According to data from workplace pension provider Nest, 53% of parents would prefer these parenting duties over getting to grips with their pension pots.
The survey, which questioned over 2,000 parents, found that just 11% of respondents considered checking their retirement savings as a short-term priority. Instead, parents prioritised tasks such as ‘babyproofing’ their homes, buying healthy food, and going on family days out. Some 95% of parents take steps to protect their children from hazards around the house, including locking away hazardous items and covering electric sockets.
Gavin Perera-Betts, of Nest Pensions, said: “For busy parents, juggling family life is a pressure in itself, before we even begin to think about finances. But what we’ve found in our research is that future proofing can take lots of different forms – from protecting your children from hazards around the house, through to making tangible provisions and investments by saving into a pension.”
The survey also found that parents plan to set aside an average of £157 per month for each child, but almost one in 10 cannot afford any additional savings. Perera-Betts recommends a three-step pension check for parents unsure about their future, which involves first thinking about the kind of lifestyle they want in retirement, then checking the balances of their pots, and finally making changes if they need to put more money aside for later life.
Priorities: Just 11% of parents are checking their retirement savings as a short-term priority, a survey has revealed. (Source: This is Money)
The findings suggest that many parents are neglecting their long-term financial security in favour of more immediate concerns. As Perera-Betts notes, “future proofing can take lots of different forms” and making provisions for retirement is an essential aspect of securing a family’s financial future.
The survey’s results are consistent with previous research suggesting that many individuals struggle to prioritise long-term savings. With the current economic climate and the increasing cost of living, it is understandable that parents may be focused on short-term financial pressures. However, experts stress that saving for retirement is crucial to ensure financial security in later life.
In order to encourage parents to take a more proactive approach to managing their pension pots, Nest Pensions recommends that individuals take the following steps:
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