More than a quarter (27 per cent) of Finnish retirees are not financially prepared for their retirement years, while 13 per cent would like more support for online transactions than they currently receive, research from Ilmarinen has revealed.

The survey showed that this is broadly in line with the previous year, when 26 per cent of Finnish retirees did not feel financially prepared.

However, the majority of retirees have prepared financially for their retirement, with saving into an account, buying their own home, investing and acquiring a supplementary pension topping the list as most common forms of financial preparation.

In particular, almost half (48 per cent) of respondents said they have saved money in an account as part of their financial preparation, which is the same as last year.

Other means of preparation have declined in popularity though, as buying their own home was mentioned as a means of preparation by 35 per cent of Finns, down from 40 per cent in 2023, while investing in funds, shares or real estate was mentioned by 30 per cent (32 in 2023) and a supplementary pension was mentioned by 14 per cent (15 per cent in 2023).

Ilmarinen researcher, Jouni Vatanen, commented: "According to our recent study, financial preparation before retirement has weakened significantly in 10 years.

"As a result, a car breakdown, unexpected medical expenses or other sudden expenses threaten the finances of more and more pensioners. Although the situation is still relatively good, the direction is worrying.

"Now we need a broader discussion and concrete solutions that help people prepare in time. Strengthening financial literacy at a young age and awareness of livelihoods in retirement could help secure the future financially."

The research also found that the majority (86 per cent) of Finnish retirees think it is easy to handle financial matters online, with 66 per cent agreeing that there is sufficient support for electronic transactions available.

However, further support for digital transactions is still needed, as one fifth (21 per cent) of respondents were unsure, while 13 percent do not feel that they receive sufficient support for electronic transactions.

Given this, Vatanen stressed the need for providers to lower the barriers to online services and offer targeted guidance, "so that no one is left out of digital services in their financial affairs".

---