Is silence golden? Half of over 55s never talk to loved ones about retirement goals or finances

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• Silent versus loud budgeting – a generational divide?

Many people are approaching retirement without talking to anyone about the retirement lifestyle they want and whether they’re on track for it, according to new research1 from Standard Life, part of Phoenix Group.

Retirement might be one life’s biggest changes however half (50%) of those aged 55 and over have not discussed the sort of lifestyle they want with a partner or loved one, and another 53% have also not had a conversation about whether they are on track to afford it when they retire. At the same time, 18–34-year-olds appear to be more open to talking about their lives in retirement on despite being far further away from it with just 43% having never discussed the topic.

Meanwhile, among the over 55’s conversations with loved ones about key financial information is taboo with over 40% never discussing details of bank accounts, insurance documents, and wills, or how to find and access important documents. This appears to be in sharp contrast to the “loud budgeting” trend popularised on social media this year and generally associated with younger generations, in which people display openness about what they do and don’t want to spend money on as well as their wider financial goals.

Across the UK, however, many people are not having financial conversations with partners or loved ones. A third (33%) have never discussed their household budget while 41% have never spoken about their short-term financial goals.

Dean Butler, Managing Director for Retail at Standard Life comments: “Talking about money and planning for the future isn’t always comfortable, but it is important. If you’re making decisions or putting plans in place that could impact a partner or loved one, try to have a discussion to ensure you’re on the same page and working towards the same goals with at least the people in your immediate household. It appears to be the case that older generations are a bit more reluctant to have these conversations than their younger counterparts, but irrespective of age there are benefits to people opening up about money and their plans on how to save and spend it.

“Having financial conversations can also strengthen relationships, as well as bring practical benefits. For example, speaking about money can help you budget with your loved ones, or it could help you understand each other’s wishes for the future, such as in the event of illness or incapacity. It’s also a good idea to share key financial information, like how to access important documents, with someone you trust in case they need to know for the future. It may feel difficult to begin a discussion about finances and your future, but it will help you plan for both the short and long term and understand whether you’re on track to meet your goals, or need to make any changes to help you reach them.”

Dean’s top retirement conversations

1. When and how to retire “It’s important to have conversations about your retirement goals and timelines, perhaps most crucially with your partner. Discuss whether you plan to retire at the same time, and what you’d like to do when you get there – this will open up similarities and differences in your hopes and expectations around things like day-to-day spending, travel and hobbies and will help you both understand how much you need to save”
    
2. Locating all your pensions “It’s likely that yourself, your partner and others in your household and beyond will have built up a number of pension pots from current and previous employers. Opening up a conversation about your previous jobs and the pension offering with former employers can encourage you to locate them and perhaps bring them all together in one pot. Keeping track of all your pensions and how much you have saved so far can help to inform your future retirement planning. If you find you can’t locate a pension pot, our new pension tracing service might be able to help”
    
3. Beneficiaries and estate planning “Most pensions don’t fall into your ‘estate’, so you can’t specify who you want to receive your pension money when you die in your will. Instead, you can nominate a beneficiary on your pension plan which your pension provider will take into account. It’s good to talk about who you plan to nominate so everyone knows where they stand in terms of planning – and to avoid any potential future conflicts”

ENDS

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Notes to editors

* Opinium conducted research among 2,000 UK adults. Fieldwork was conducted 6th and 10th September 2024. Data has been weighted to be nationally representative.

About Standard Life

• Standard Life is a brand that has been trusted to look after peoples’ life savings for nearly 200 years
• Today it proudly serves millions of customers who come to Standard Life directly, through advisers and through their employers’ pension scheme.
• Standard Life is part of Phoenix Group, the largest long-term savings and retirement business in the UK. We’re proud to be building on nearly 200 years of Standard Life heritage together
• Our products include a variety of Pensions, Bonds and Retirement options to suit people’s needs, helping our customers to invest and save for their future. We’re proud to offer a leading range of sustainable and responsible investment options.
• We support our customers on their journey to and through retirement with comprehensive, easy-to-understand guidance so they can invest in the right way for their needs, and plan a future they feel confident about.
• The value of investments can go down as well as up and may be worth less than originally invested.