Indian employees feel they save less for post-retirement life: Survey

A large proportion of Indian non-government employees recognise the need to save more for their post-retirement life but they admit they are saving less that what is ideal, says a new survey.

Seventy-eight percent of Indian employees recognise they will need to save more for retirement, according to the Global Benefits Attitudes Survey conducted by global professional services company Towers Watson.

With most Indian employees expecting to retire around the age of 60, saving for retirement has appeared as the top financial priority for those above 50 and amongst the top three across all age groups.

Amongst members of retirement plans, housing and saving for retirement are the top two priorities in the below-40 age group, while saving for retirement is the top priority for those above 40.

"In the face of a high inflationary environment and the advent of nuclear families, retirement adequacy is fast emerging as a national challenge with serious economic and social ramifications," Anuradha Sriram, benefits director at Towers Watson India was quoted as saying in a statement issued Thursday.

"While many remain unsettled about their post-retirement financial prospects, India has a relatively young workforce, thus allowing them time to plan. That said, there is an evident need for the government and employers to take cognisance of the issue and incentivise or mandate such savings," she added.

The survey was conducted across 12 countries, covering 22,347 employees working for large, non-government employers.

According to the survey, Indian employees prefer to save more than extending their retirement age.