SME owners expect pension cash to run out
Nearly half of small business owners expect to outlive their retirement funds, according to new research. The study, by Forum of Private Business and Clifton Asset Management, found that 42% of SME owners do not anticipate retiring until they are 70 or older, or are not planning to retire at all. More than half expect a pension pot of less than £500,000 to fund their entire retirement - and 45% fear their retirement funds will run out. The report also suggests there is potential for some SME owners to use their pensions to help fund their businesses - but warns that far more education is needed for them to make the right decisions. Adam Tavener, founder of Clifton Asset Management, said: “A knowledge-based approach is essential to drive good decisions for SME owners to make the most of their pensions and fulfil their business and retirement expectations.” However, former Pensions Minister Ros Altmann told the Mail on Sunday that those who put their pension into their business would be “doubling” their risk of a poor old age.
Source: The Mail on Sunday (09/04/2017)