This was more apparent in the younger demographic (aged below 35), a survey has noted. Reasons include: 20% of plan to rely on their spouse or family members for it, and 61% are confident they will have sufficient funds for it. More details here.
One in three Singaporeans (39%) are worried they will not have enough funds for retirement, yet not many are acting on it, a recent report by Endowus has found.
In particular, this was seen more in respondents between 35 and 44 years of age, with 49% revealing they were not confident in their retirement adequacy. The report pointed out: "For those between 35 and 44 years old (commonly referred to as the sandwiched generation), supporting both their children and their ageing parents will take a toll on their finances and their ability to save up for their own retirement.
The Endowus Singapore Retirement Report was commissioned by Endowus in partnership with YouGov Singapore, and covers a May 2021 online survey of 1,099 adults (21 and above) in Singapore.
The following data was revealed:
Women are slightly less confident in their retirement adequacy than men
Women were found to be half as likely as men to "strongly agree" that they are confident in having sufficient money for retirement (7% vs 14%). This, the report noted, is "especially concerning considering that women live longer with a life expectancy of more than 86 at birth and beyond 88 if they live to 65."
While this was so, women still did express some levels of confidence - with 48% agreeing they are confident (men: 53%).
How Singaporeans feel towards their CPF funds
Zooming in on the topic of CPF - despite generally high awareness of the primary uses of CPF (89-92%), the survey showed that many Singaporeans still do not use, or plan to use, their CPF for these purposes (53-58%).
Notably, slightly more than half (53%) are planning to use, or are currently using, CPF to fund their retirement.
A breakdown of awareness levels and what Singaporeans intend to use CPF for, noted:
- Awareness: 91%
- Utilising: 58%
- Awareness: 92%
- Utilising: 55%
- Awareness: 89%
- Utilising: 53%
- Awareness: 80%
- Utilising: 36%
- Cash savings
- Awareness: 66%
- Utilising: 46%
- Awareness: 79%
- Utilising: 22%
Above all, almost half (45%) of the respondents have not started planning for their retirement, something that was more apparent in the younger demographic (aged below 35).
Further findings include:
- 20% of respondents plan to rely on their spouse or family members for it.
- 50% plan to rely mostly on their CPF payouts for it.
- 61% are confident they will have sufficient funds for it.
- 70% have other personal financial plans for retirement.
Looking at the data by income level - Singaporeans earning a low monthly income (S$3,000 and below) are less likely than high income earners (S$6,000 and above) to use/plan to use their CPF for retirement (41% and 59% respectively).