Legal & General has developed a free online course with The Open University, called ‘Retirement planning made easy’, which is available on the institution’s OpenLearn platform.
It aims to equip those approaching retirement with the knowledge required to instil financial resilience in later life.
The introductory three-hour course combines guidance, short videos and tools and covers various aspects of retirement planning, from how to budget for retirement, how different types of pensions work and what to do if pension income is at risk of falling short.
Legal & General said it “hopes that by championing good quality, straightforward, informative content to encourage later life planning”, the course “can reduce some of the anxiety currently being felt by older workers unsure how to plan their retirement”.
Out of work
This comes as recent data from the Office for National Statistics showed there were already 730,000 fewer employees on payroll in July than in March 2020, with over 65s one of the groups most likely to have been impacted.
The Centre for Ageing Better also found that, when out of work, older staff are far more likely to face long-term unemployment, with just a third of over-50s returning to work after losing their job, compared with more than half (54%) of 35 to 49-year-olds.
Amid this career uncertainty, a large number of over 50s are now facing financial worries as a direct result of covid-19.
Over a third (37%) have seen their household income decrease during the pandemic, as companies furlough staff while cutting back on wages and head count.
For workers who have seen their income drop, large numbers have turned to their reserves to counter this, with 25% having dipped into their savings to help meet every day living costs.
Some 68% are concerned about their cost of living currently, with a third (35%) reducing their daily expenditure as a result. With incomes impacted, well over half (58%) are also worried about how the pandemic will impact their savings long-term.
Awareness
Emma Byron, chief executive of Legal & General Retirement Income, said: With the UK now formally in a recession, and the end of the furlough scheme on the horizon, many over 50s are feeling apprehensive about their job security.
“It’s an unfortunate fact that this group is less likely to secure another role once out of work, meaning redundancy can have serious long-term repercussions on their retirement.
“For those worried about their finances, it is better to be aware of the options available to them, rather than burying their head in the sand.
“To encourage people to do this easily, we have launched a free online course, so people can engage with their options now and help secure financial resilience later in life.
“With all the current uncertainty, having a solid understanding of retirement is a valuable tool to have in your back pocket.
“Our hope is that by encouraging older workers to engage with their later life finances, growing numbers will be equipped with the tools to enjoy a more comfortable retirement.”
