Thursday 23rd of September 2010
Individual voluntary arrangement (IVA) answers might offer you considerable peace of mind if you're worried about being able to keep your head above water after you retire.
New research from Aviva shows the UK has the biggest individual pensions gap in Europe - currently standing at £318 billion. This refers to the difference between the funds required to live in comfort in your post-work life and the amount you actually have available.
As a result, adults have to save up an average of £10,300 to close the deficit.
Answers on IVAs may, however, be useful for those of you who recognise the need to start saving for your retirement but are struggling due to unrelenting debt problems.
The measure reduces the amount of money owed on unsecured financial products with the help of around 60 reduced-rate repayments.
And you may find your personal deficit becomes easier to manage, as an IVA helps you meet all of your credit balances by merging them into one monthly outlay.
Commenting on the Aviva figures, Alison-Jane Bailey, head of policy and technical development at the Pensions Advisory Service, says: "We all need to save more and take greater personal responsibility for providing for our income in retirement. The state pension will not be enough to live on."
By Hayley Jones
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