How long your savings will need to last
How long do you think you’ll spend in retirement? People tend to underestimate the length of their retirement, but research carried out by the Office for National Statistics in 2020 shows us that people are living longer now than ever before:
- A man aged 65 years in the UK can now expect to live, on average, to 86.9 and a woman of the same age to 89.1
- A boy born today could expect to live to 87.3, whilst a girl could expect to live to 90.2
This means that your savings may need to last longer than you think. Use the Office for National Statistics tool to see what this might mean for you.
How much will you need in retirement?
It’s a good idea to think about what you’ll need to spend in retirement and it helps to create a goal to work towards. It’s not just about adding up your day-to-day expenses, you’ll need to give some thought to how you’ll spend your time in retirement and what that could cost.
Use our ‘Retirement Living Standards’ tool to help you work out how much income you’ll need.
Based on the retirement living standards from the Pensions and Lifetime Savings Association (PLSA), it helps you work out what your retirement might cost based on three lifestyles and allows you to tailor your living costs to your own needs.
Take your Midlife MOT
For other help reflecting on your wealth, work and wellbeing, take our new free 'Midlife MOT' course with The Open University.