70% of Estonians think pension system not sustainable ({{commentsTotal}})

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Even though residents of Estonia are better prepared for retirement than people in Latvia and Lithuania, more than 70% of Estonians don't believe that the current pension system is sustainable, the SEB's Retirement Readiness Index Survey showed.

At the same time, 36% of respondents said they find the pension system fair. The share of those who believe that the government will provide them with a reasonably sized pension has dropped by 2% compared to last year to 29%.

Indrek Holst, CEO of SEB Life and Pension Insurance, said that according to estimates, the first and second pillars of the pension system would provide a person with 40% of their pre-retirement income, compared to the 90% of pre-retirement income that respondents would like their pension to be worth.

Holst said that against this background only 14% of respondents were saving regularly by putting aside at least €100 a month into a third pillar pension fund or a savings account.

The survey also indicated that 28% of working respondents would like their employer to make payments into their third pillar pension fund.

SEB had TNS conduct the Retiremen Readiness Index Survey simultaneously in all three Baltic countries. 1,700 individuals were interviewed in October 2015.

Editor: Editor: Dario Cavegn



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