Debt worries 'lessen' if people work after retirement

31/12/2009

People who work beyond retirement age will be more comfortable about their finances and less insecure about debt.

That is according to Emma Soames, editor at large for Saga Magazine, who explained that working life contributes a lot to people's well-being.

She added that remaining employed helps Britons save for their future as it keeps them occupied and "out of the shops".

"By definition you work, you're earning, so you are going to be less stressed about money than if you are not working," Ms Soames noted.

"The other thing is if you have got nothing better to do all day than sit at home worrying, you will worry more than if you are out there being constructive and having to think about something else."

In November, a report from Prudential suggested that one in four firms expect their staff to delay retirement.

This would result in an additional 1.8 million people beyond retirement in the next ten years.

Kevin Still, director of EuroDebt, commented: "For many people over 60 it will be a requirement to work beyond retirement age simply to keep up with unsecured credit repayments and even mortgage payments.

"EuroDebt has a large number of older clients on Debt Management Plans [DMPs] and the evidence is that the levels of unsecured debt are very high at an average of over £29,000 with over eight creditors. A drop in income can have a dramatic effect on your personal finances at this stage in your life."

Tags; Retirement Money Problems,

• Share
• 
• 
• Store
• 
• Follow
•