Sickening news for anyone retiring in Ireland over the next 40 years 5 years ago

Sickening news for anyone retiring in Ireland over the next 40 years

This is not the kind of news that any young professional wants to hear.

Ireland's pension gap is now the second largest in Europe, according to Aviva, behind only that of the UK.

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Aviva's report on the Irish pension system has advised that people hoping for an adequate income post-retirement must save an additional €1,000 per month - something that virtually anyone who is earning anything like the average wage in Ireland will tell you is utterly impossible.

The news gets worse the older you are, with people in their 60s being told they need to save an extra €28,000 a year. Short of winning the lottery, it's hard to see where that is going to come from for most.

The report notes that there has been a decline in pension savings, meaning that a pushback on the age of retirement or an increase in state pensions would not entirely alleviate the problem.

According to RTÉ, two of the biggest factors that have widened that pension gap are longer life expectancy and lower returns on investments.

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The number of workers with pensions has dropped by 5% since the start of the economic crash in late 2008.