53% of people in their mid-life have never calculated when they can afford to retire, according to latest research from Aviva.
This comes as the insurer launches its new Mid-Life MOT app to help provide consumers with essential guidance and support to improve their wealth, work and wellbeing.
The free app can be downloaded here and will facilitate a MOT style check-up, providing consumers with a score out of 100 with suggested actions to take.
Lockdown has led to a 40% increase in consumer mobile phone app usage so far this year. Aviva’s research reveals that 28% of adults use apps on their phone for everyday finances, such as budgeting and monitoring spending or saving, while 22% use apps to improve their physical health.
However, just 7% use apps for retirement planning, including using pensions calculators and accessing guidance on savings and investments. In fact, more people (15%) use apps for dieting than they do for retirement planning.
Meanwhile, 29% of those in their mid-life agree that confidence in their health and wellbeing has worsened since the beginning of the pandemic and 19% of those say their work-life balance and job security has worsened. 34% say that they are unhappy with their sleep and more than a quarter say they are unhappy with their mental health (26%), while 32% are unhappy with their physical health.
Despite the breadth of challenges those in their mid-life face, little action is being taken to safeguard and improve personal finances, health and wellbeing. 52% of this age group have never calculated when they can afford to retire and three in five (61%) have never requested a free state pension forecast.
Even as the labour market outlook gets tougher, 41% have not updated their CV in over a year.
Alistair McQueen, head of savings and retirement at Aviva, said: “Much of the debate surrounding Covid-19 has focused on the needs of the youngest and oldest in society and there’s a risk that we overlook the millions in between. Before Covid-19 struck, 45-60 was the fastest growing age group of workers in the UK – bringing huge experience, skill and potential to the labour market. However, this age group is also the most likely to be overburdened with wealth, work and wellbeing concerns.
“Those in mid-life are a resilient age-group, juggling a fuller working life, planning for retirement and contemplating the health implications that come with living longer. It’s vital that we support this age group to ensure they reach their full potential.”
To better support consumers Aviva has developed its Mid-Life MOT programme and is now rolling its support out to the public via a new education app. The app brings together a range of publicly available tools in one place to help consumers take positive action to increase their preparedness for mid-life and beyond.