A recent survey by 10x Investments shows that around 41% of 11.9 million economically active South Africans have no retirement plan in place and 40% of Women have no Investments or savings in any form. About 46% of the 1.4 million respondents to the survey indicated a profound lack of trust in the retirement industry. The report points out that SA is sitting on a retirement time-bomb, with only 6% of the Country’s population on track to retire comfortably according to the National Treasury.
The report found a lack of understanding among many existing Clients of the retirement Industry of what they have saved and what they need to have saved. Fewer than 50% of the respondents were aware of how much money they could expect at retirement. The survey found that 46% of respondents began planning for retirement only after becoming established with partners and having children, while just 22% began planning at the beginning of their careers, which is what is recommended.