One in five Singapore residents say resignation has delayed retirement by six years

| 23 Jun 2022

The great resignation has disrupted Singapore residents' plans to retire, with one in five residents indicating that they intend to push back their retirement by six years, from 58 years to 64 years.

This was according to a poll, commissioned by Prudential Singapore, which sought to explore the impact of the wave of resignations on retirement and financial planning among Singapore residents. 

Despite the financial implications, 52% of respondents said they left because they “no longer felt engaged at work”.

Other factors include seeking better career prospects (38%), taking a break for mental wellness (34%) and toxic work environments (34%). 

However, those who have left their jobs say that they are taking steps to manage the impact of their career breaks.

One in two respondents indicated that they would cut their spending by 31% every month, while 64% of respondents would adjust their lifestyles by dining out, shopping, and watching movies less frequently. 

About 51% indicated that they would take fewer taxi or private hire vehicle rides. 

As for retirement plans, 44% of the respondents aged 25 to 50 said they were unprepared for retirement. Of this particular group, 47% of them are aged between 25 to 34. 

About 84% are also worried about the increasing cost of living due to inflation, while 81% of those who participated in the poll are concerned about rising healthcare expenses.

The poll found that Singaporeans mainly depend on their Central Provident Fund (CPF) accounts and bank savings to fund their later years. About 73% listed their CPF savings as their top source of retirement income. 

Respondents who diversified their financial portfolio are more prepared for retirement, with 68% of respondents who are confident of having enough to retire saying they invested in shares, bonds and Exchange Traded Funds (ETFs), and 46% have insurance. 

Meanwhile, only 50% of respondents who are unprepared for retirement have investments while 36% have insurance. 

The poll, conducted in April, surveyed 1,000 respondents.