From any plan, to a better plan

The FNB 2025 Retirement Insights Survey exposes South Africa's retirement planning gap, as only 10% of respondents plan to fully retire at 60

- LYTANIA JOHNSON and SIZWE NXEDLANA

MOST SOUTH Africans are looking forward to a retirement that offers comfort, freedom and financial ease, but the reality for many is likely to be very different.

This is according to the findings on the 2025 FNB Retirement Insights Survey, which reveals a widening gap between retirement expectations and actual preparedness—just 10% are planning to fully retire at 60.

Now in its third year, the survey shows that although more South Africans claim to have a retirement plan, very few are on track to achieve their goals.

The survey reveals that 60% of South Africans under the age of 60 now have a retirement plan. However, financial constraints continue to hinder progress. These may contribute to the need to delay making contributions, prematurely access savings, or abandon retirement products altogether.

Among middle-income earners, for example, contributions towards retirement annuities have declined from 51% to 34% as debt pressures and daily living costs take precedence.

The research further highlights a growing trend—the middle class feels uncertain about their ability to save adequately and stay on track with their retirement plans. Accordingly, the gap between expectations and outcomes must be urgently addressed.

On the upside, there is growing positive momentum in the financial services industry, and a visible shift from a 'one day' to a 'day one' mindset. More South Africans are recognising the need to plan, and many are taking initial steps—but awareness without action won't secure the futures that people want.

This is where financial institutions, retirement funding providers, and intermediaries now have a more critical role to play than ever before.

What's also clear is that most people aren't ignoring retirement—they are just overwhelmed by it. The survey found that procrastination often stems from not knowing where to start.