Retirees express money worries

Recent research conducted by Prudential suggests retirees are keen to keep their minds active and boost their income by staying on in work.

The survey showed that more than one-fifth of pensioners have returned to work after reaching the State Pension age, or are planning to go back.

Some 56 per cent of respondents said they wanted to stay in employment to increase their retirement funds, while 61 per cent expressed a desire to stay mentally active.

There are also some enterprising retirees, with one in 12 of those questioned admitting to setting up their own companies, while close to one in 20 is earning more now than they did before they retired.

It is not so good for all pensioners though, as 51 per cent who have taken on work post retirement said they earned less than they had done previously.

Retirement income expert at Prudential Stan Russell said: "Although it’s striking to see how many retirees are choosing to return to work, it’s not optional for some people. While many say that working in older age is a good way of staying active, there are others who are forced to go back to work to make ends meet."

This study suggests financial concerns are pushing a great many retirees back into work, and recent research from Retirement Advantage suggests those issues arise ahead of people leaving work.

According to the poll, which was conducted by YouGov, some 49 per cent of over-50s worry about not having sufficient funds for their retirement.

Some 31 per cent of those aged over 50 stated they were concerned about how much it will cost them to live once they are retired.

Pensions technical director at Retirement Advantage Andrew Tully suggested it is important for people to shop around when choosing their annuity and drawdown plan to ensure they get the most suitable plan to suit them.