By Daniel Hunter
A new report released by the National Association of Pension Funds (NAPF) suggests people are over-optimistic about retirement income.
The pensions group have warned that people must conduct a healthcheck of their workplace pension, as many could be 'sleepwalking into their old age'.
This view comes after an Institute for Fiscal Studies report said that people may live for longer than they expected.
The report suggested that people's pension provisions were inadequate compared with their expectations.
"Fortunately, people are going to live longer than they think, but they are not planning for it, so they might find their savings and pension do not stretch far enough," said Joanne Segars, chief executive of the NAPF.
"Millions of people are within a decade of their state pension but have still not thought about how long their retirement might last. It is worrying that so many over 50s are sleepwalking into their old age and are expecting to be better off than they will be."
The report, which was partially funded by the NAPF, claimed that women were underestimating their life expectancy by four years, and men by two years.
It found that one in four people aged between 50 and 64 needed to save an additional £60,000 before retirement to gain the income that they might expect.
Nearly 60% said they had not thought about the number of years of retirement that they might need to finance.
About 32% of those aged 52 to 64 could not offer a rough estimate of what their private pension retirement income might be.
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