Only 33% Youngsters In The World Are Saving For Future: Report
Are you saving up for your retirement? If you are, you are among the 33 per cent of working professional who are doing so worldwide. A survey of 16 nations by banking major HSBC, titled Future of Retirement: Bridging the Gap, finds that youngsters today are more focused on meeting their immediate financial goals than planning for their old age. The survey was conducted across Australia, Argentina, Canada, China, Malaysia, Mexico, Singapore, Taiwan, France, Hong Kong, India, Indonesia, Turkey, UAE, the UK and the US.
While only 19 per cent working professionals are saving up for senior citizen homes, about 51 per cent respondents said that they were concerned about affordable housing options during retirement, says the survey.
About 56 per cent of the respondents said they were living on a daily wage while about 53 per cent saved for short-term goals only.
While spending on entertainment and leisure was more important for 45 per cent of respondents, shows the survey, over two-third respondents, that is 69 per cent, see themselves working to some extent and don’t really consider the phase as retirement.
About 54 per cent of respondents said they were interested in starting their own venture. Interestingly, only about 65 per cent understood the implications of retirement and knew the costs associated with it.
The report also indicated that youngsters were looking at a break from the routine nine-to-five jobs, with 76 per cent respondents saying so. About 72 per cent were interested to take up new hobbies while 68 per cent wanted to be fitter.
“For many, retirement is thankfully no longer a short period tacked on to the end of our life. It can be a long and very fulfilling part of a person's life. But, with that, our needs at 65 can be very different from our needs at 75 or 85, with very different financial implications,” says HSBC India Head of Retail Banking and Wealth Management Ramakrishna S.
In India, according to a Reserve Bank of India report, real estate and gold are the top two assets for any family. Among those who allocate financial assets into bank deposits, traded shares, government securities, mutual funds, etc., include Daman and Diu, Sikkim, Dadra and Nagar Haveli, Delhi, Chandigarh and Arunachal Pradesh. Also, retirement accounts include private pension accounts, provident funds, annuity certificates, and life insurance accounts. However, it was seen that over 50 per cent Indians leading a retired life were financially dependent on their children.