Supporting employees on their retirement journey

As the shift from being in the workforce to entering retirement begins, employees can begin to realise how ill-prepared they are for this journey. People are faced with significant life changes, many of which they have not even considered. The financial aspects of retiring can cause great confusion, and this can be further compounded by the lifestyle and relationship changes that follow, when retiring from full time employment.

Research points to how financial worries are one of the main causes of stress for employees. Research carried out by the Chartered Institute of Personnel and Development found that 1 in 4 employees in the UK feel that financial stress affects how they perform in work. In a further study that the CIPD conducted, it was reported that financial strain caused 24% of employees stress.?

As a HR professional or business owner, providing access to education for employees on finance throughout their career is incredibly important – but it can often be left too late to make a difference. Financial planning for retirement should at the very least begin five years prior to retirement but in many cases, it is left until much closer to the retirement date. In an ideal world, pre-retirement planning would begin in mid-career, often when an employee is in their 40s. However, this kind of education and support is offered by very few employers.

An important aspect of retirement that should also not be overlooked is the lifestyle shift that many experience. This is incredibly important, particularly for those who are close to entering retirement. Understanding what personal goals to set is vital to having a healthy lifestyle in retirement. Knowing what hobbies, you are interested in and how the skills you have learned throughout your career can be put to use in retirement, can ease the transition. Having an experienced outside provider you can rely on to discuss the emotional, lifestyle and financial aspects of retirement with your employees can encourage them to view retirement in a more positive light, and allows people to start thinking about all of the benefits of retirement, often alleviating their fears.?

Organising pre-retirement planning courses is not just beneficial for employees however, it is also beneficial to employers. Providing these workshops and programmes for your employees can encourage and maintain a healthy employee-employer relationship. An employee’s self-confidence may begin to dwindle towards the end of their career, but with a retirement plan and the necessary supports in place, they may be more likely to maintain their momentum at work during their last few years. The more valued and appreciated people feel, the more attractive a company seems to potential employees and the more unlikely it is that its employees will look for work elsewhere. Providing your employees with the knowledge of how to plan their retirement is an invaluable gift and one that they will thank you for.

At the Retirement Planning Council of Ireland, we offer three different types of courses: planning for retirement, mid-career planning and executive planning for retirement. These courses are catered to the personal needs of pre-retirees. The pre-retirement courses cover change, finance, healthy living, social welfare, legal aspects, mental stimulation, social engagement in retirement and how to develop a personal plan.

In our mid-career courses, we guide employees to assess their financial options and priorities in order to prepare for the future.

To enquire about our Corporate Membership, courses or learn more about what we do, contact a member of the team today.?

https://www.rpc.ie/contact/