Pension planning 'could make you richer'

18 October 2007
Taking the time to address financial planning issues such as pensions can leave people better off, it has been claimed.

According to AXA, many people miss out on saving money for themselves, despite the fact that just one hour's work on finances a month is required.

The insurance provider took a test batch of 20 households and gave half of them access to financial advice. Among the issues the advisors addressed were pensions, debt and savings.

When comparisons were made between the two groups' finances at the end of the test period, it was found that those who had been required to attend to their finances were approximately £5,000 better off.

AXA spokeswoman Rachel West said taking time to concentrate on pensions and other financial issues "makes you better off, not only financially but also emotionally, if you look at the levels of stress".

The government recently reassured workers that the forthcoming personal accounts system is not intended to replace workplace pension schemes.

Find out more about retirement planning and pension advice

track© Adfero Ltd