More than 80% of Finns consider it necessary to prepare for retirement financially, but only one in two is ready to fund their retirement out of their own pocket. Similarly, almost 50% of Finns believe that the public sector will continue to offer sufficient social and health care services. Nevertheless, an equal proportion of Finns is ready to pay for some of the social and health care services they need.
According to a survey commissioned by Nordea from Taloustutkimus Oy, 25% of Finns believe that their statutory pension will be sufficient to allow them to do the things they want when they retire. This is the opinion of one in three men, but less than one in five women. Men also had more confidence than women in the financial security offered by the pension system.
- Most Finns consider it necessary to prepare for retirement financially. However, only half of Finns have actually done something about it, such as started saving. There are many reasons for this contradiction, one being that all people are not financially able to save as much as they would like to and some people are planning to start saving later, says Olli Kärkkäinen, Nordea’s Private Economist.
- On the other hand, if you save for decades, even a very small amount each month is enough to accumulate significant savings, says Olli Kärkkäinen.
The young and people with a university degree thought it more necessary than others to prepare for retirement financially.
- People who are close to their retirement are more confident than others about having a sufficient statutory pension. Among the young, fewer than one in five believe that their statutory pension alone will be sufficient, making it very understandable that they want to independently prepare for retirement, says Olli Kärkkäinen.
The current level of public social and health care services should be maintained
A great majority (90%) of Finns want the public sector to maintain at least the current level of social and health care services. However, close to 50% of the young do not believe that the public sector will offer sufficient services going forward and are prepared to fund part of the social and health care services out of their own pocket.
- Public social and health care services have really extensive support. 90% of Finns think that the social and health care services offered by the public sector must not be reduced in the future. Almost half of the respondents, however, do not believe that the public sector will offer all the necessary services going forward. From this angle, it is positive that almost half of the respondents are also ready to fund part of the social and health care services they will need out of their own pocket, says Olli Kärkkäinen.
The survey examined Finns’ attitudes towards retirement and preparation for it financially as well as their attitudes towards public social and health care services and their sufficiency. The survey was conducted through Taloustutkimus Oy’s internet panel in March 2017. A total of 1,229 people between the ages of 23 and 65 responded to the survey.
For further information:
Olli Kärkkäinen, Private Economist, tel +358 40 7356 030
Susanna Aarnio-Halme, Group Communications, +358 9 42 45 1006