Nearly half (48 per cent) of respondents to a new survey said they feel financially unprepared for the future.
A new survey conducted by LIA, an organisation for the education and development of finance professionals, has unveiled insights into the financial preparedness and retirement planning of individuals across Ireland.
According to the research, nearly half (48 per cent) of respondents reported that they feel unprepared financially for the future, with 43 per cent struggling to ‘make ends meet’.
This lack of preparedness is more pronounced among women, with only 11 per cent feeling "very prepared" compared to 23 per cent of men.
The findings are based on a survey conducted by LIA, which gathered responses from 800 individuals aged 25 to 60, providing a representative snapshot of financial preparedness and planning habits across Ireland.
These insights come as LIA launches its new three-year strategic framework, 'Shaping the Future', dedicated to further advancing members' knowledge and expertise, while empowering them to provide the best financial advice.
This, in turn, helps individuals feel confident about their financial future, and supports overall well-being.
In addition to financial insecurity, the research also highlights the deep toll finances are taking on mental health. A significant 81 per cent of respondents reported that their financial struggles are negatively impacting their mental health.
In addition, and perhaps most alarming, is the lack of confidence many people have about their financial situation as they approach retirement. Only 42 per cent of people nearing retirement reported feeling more confident in their financial position.
Savings habits also present a challenge, with 34 per cent of respondents saving less than 5 per cent of their income. Notably, 42 per cent of women save less than 5 per cent of their income compared to 24 per cent of men, highlighting significant gender disparities in savings habits.
However, it's important to note that 13 per cent of respondents save over 20 per cent of their income, which may be reflective of higher income earners who have more disposable income available for savings.
The survey reveals that 31 per cent of respondents aged 35-54 do not have a pension, indicating a substantial gap in retirement planning among middle-aged adults.
It also finds that 42 per cent of young adults aged 18-34 do not have a pension.
Joanne Keane, chief executive of LIA, said: "Financial insecurity is not just an economic issue—it’s a mental health issue. Our research shows that too many people are unprepared for the future, leading to unnecessary stress and anxiety. The good news is that help is available. Professional financial advice provides clarity and direction, helping people navigate not just retirement planning but also major life milestones—buying a home, funding education, or planning a wedding—ensuring they can make informed financial decisions with confidence.
“Our new strategy reinforces LIA’s role in equipping financial advisors with the highest level of expertise and professionalism. By continuing to develop and support highly educated financial advisors, we strengthen the availability of quality advice, helping individuals take control of their financial future and build resilience for whatever lies ahead.”
LIA’s new three-year strategic framework is designed to tackle these challenges by focusing on long-term solutions and supporting the development of financial literacy and advice. The strategy focuses on four key pillars: Leadership, Education, Engagement, and Partnerships.
For more information about the survey findings and LIA's strategic initiatives, visit lia.ie.
