Thirty-four per cent of Danes are worried that they are not saving enough for retirement, according to research by Insurance and Pension Denmark (I&P Denmark).

The survey by Epinion, on behalf of I&P Denmark, found that of those who think they are paying too little, more than half justify it by saying that they cannot afford to pay more.

“In Denmark, nine out of ten Danes have a labour market pension, and thus they are largely financially protected in old age. Therefore, it is surprising that so many fear that they are paying too little into their savings. Many doubt whether they can afford the standard of living they dream of as a pensioner, and they fear not being able to stay in their homes,” I&P Denmark vice president, Karina Ransby, said.

To ease such worries, Ransby advised that people should regularly check their pensions, and most people will find that by retirement age they will have a good pension.

“This is because the majority of employers have committed themselves to contribute to employees' pension schemes, either through collective agreements or company agreements. The contributions are invested and grow throughout the time you are in the labour market, so half of the pension will consist of returns – only the other half is contributions,” Ransby explained.

Yesterday was the 10th annual ‘Pension Day’ in Denmark, a day when Danes are encouraged to check their savings.

“Retirement planning is a crucial part of financial security in old age. It is never too early or too late to take steps to ensure that one has sufficient means to live comfortably as a pensioner,” Ransby concluded.

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