Retirement beyond 66 increasingly viewed as a financial necessity for many workers
A growing proportion of workers in Ireland believe they will need to remain in employment well beyond the traditional retirement age in order to make ends meet, according to new research from Royal London Ireland.
The latest Retirement Age Financial Feasibility Survey suggests that almost one in five workers expect they will not be able to afford retirement until the age of 70. For a much larger group, retiring before the State Pension age of 66 is seen as financially unrealistic, with more than six in ten respondents saying it feels beyond reach.
That said, the findings also point to a modest shift in confidence. While early retirement remains aspirational rather than achievable for most, a small but growing minority now believe it could be possible. Six per cent of workers say they are targeting retirement by 55, double the proportion recorded in the previous year’s survey. This increase is most pronounced among those aged 45 to 54, where expectations of retiring by 55 have risen sharply.
For many, retirement plans remain closely tied to the State Pension. Over half of workers expect to retire at 65 or 66, while fewer than four in ten anticipate leaving the workforce earlier. There is a clear gender divide, with men significantly more likely than women to believe they will retire before 66. At the same time, a rising number of people approaching retirement say they do not want to fully stop working at all, reflecting both financial pressure and changing attitudes to later-life employment.
The survey highlights an uncomfortable reality. Stable employment does not automatically translate into financial security in retirement. Rising living costs, uneven pension coverage and career breaks continue to shape expectations, particularly for women.
Against this backdrop, the planned introduction of auto-enrolment carries added weight. While it has potential to improve long-term outcomes, especially for younger workers, it will not on its own solve affordability concerns for those already nearing retirement. The results underline the importance of early planning and regular review, rather than assuming the State Pension age will align with personal financial readiness.
Disclaimer: This article is based on publicly available information and is intended for general guidance only. While every effort has been made to ensure accuracy at the time of publication, details may change and errors may occur. This content does not constitute financial, legal or professional advice. Readers should seek appropriate professional guidance before making decisions. Neither the publisher nor the authors accept liability for any loss arising from reliance on this material.
