An independent survey conducted on behalf of NEST reveals that half of over 65s regularly go out for meals, 45 per cent regularly go out with friends, and nearly a third (28 per cent) regularly buy themselves new clothes. Three per cent still play in a band, and nearly two thirds (62 per cent) say they go on holiday more than once a year, double the average for younger age groups (31 per cent).
There’s no retirement from romance either, with a third of over 65s stating they will want to go on a romantic mini-break at some point in the future and nearly one in ten (seven per cent) admitting they’d think about chatting up a complete stranger.
But this doesn’t mean over 65s are living lavish lifestyles. The research suggests that having limited money coming in may focus minds, as pensioners are most likely to stick to a budget (48%) and are also the thriftiest, with a fifth (20 per cent) saving whenever they can and never spending more than they have to, nearly double the number among the rest of the population (11 per cent).
Under 24s have the most difficulty sticking to a budget and are more than twice as likely as everyone else to splurge at the start of the month and then scrape by until pay day. Whereas 25-34 year olds are more likely than others to admit they go wild with their money, perhaps because they have more expendable income and fewer responsibilities.
Despite different spending habits, all ages agree that ‘tomorrow is worth saving for’, with under 24s the most strongly in agreement.
Commenting on the findings, Tim Jones, CEO of NEST, said:
‘Young people might think retirement is all about sitting around watching TV, but these findings show life doesn’t stop at 65. You won’t stop doing the things you enjoy and might even get to do them more often.
‘But it can be difficult to put a little aside for the future, especially when there’s the urge to splurge at the start of the month. A lot of people who are now retired benefitted from automatic company pensions during their working lives, which haven’t been available for the majority of younger people working in the private sector. The new automatic enrolment reforms will give millions more instant access to a pension that employers and the government will top up as well.
‘NEST has been designed specifically for these new savers and we are committed to providing a good quality, low-cost pension for all our members. Like everyone else, we think tomorrow is worth saving for and we want to help the next generation save a little more.’
This research was commissioned to mark the end of NEST’s ‘Tomorrow is worth saving for’ competition. Members of the public were invited to send in ideas about what makes their tomorrow worth saving for and how they would bring pensions down to earth. Three shortlisted ideas will be put to a public vote on the 28th August and the winning idea will be the basis of national adverts that appear at the end of September.