Pension planning: Have you started planning pension? Till now, the trend used to see that most people started planning pension after 50 or 55 years. Most people must have seen their parents doing this. But now this trend has started changing. Today’s youth has become more serious about his retirement. They have started taking pension plans at the beginning of career so that the future is safe. According to a report in the policy market, today 59% retirement related insurance schemes are buying people aged 40 years or less.
Now after 50, the practice of taking pension plan is ending
The report states that now the trend of postponing retirement planning to the age of 50 has reduced. Youths like Milleniels (1981–1995) and Gen-Z (1996-2010) are now taking a long-term pension policy in the early stage of career.
15.6% policy buys 41-45 years of age.
13.2% policy is taken at the age of 46-50.
Whereas only 11.6% of the customers buy a retirement policy after 50 years.
These figures show that the attitude of retirement planning has now changed. Earlier people used to plan it after 50, now the youth have already started preparing.
There are many reasons behind this.
Increased life expectancy.
Increased inflation.
And the absence of confirmed pension facilities in private jobs.
For these reasons, today’s working class wants life after 60 years of life.
It has also been said in the report that more than 75% of the policy related to retirement is buying people from small and medium cities. Only 24.7% policy comes from metro cities.
According to the CBO Vivek Jain of the policy market, the time is gone when people thought that the retirement planning starts after the age of 50. Today, more than 60% of the pension policy is taking people under 40 years of age and most of them come from small cities. This change shows that now the youth class is planning tomorrow.