Hongkongers more keen about retirement planning now: report

But there is still room for improvement in terms of actual performance.

Hongkongers have become more enthusiastic about planning and implementing their retirement plans, pushed by the pandemic and changing economic environment, according to a study by Sun Life Hong Kong.

Its inaugural Sun Life Mastery Index revealed a score of 56.3, meaning there is room for improvement in terms of actual performance in retirement planning, especially singles who are less adept in this aspect.

The index studied the public’s degree of control over retirement planning by evaluating their real performance in three pillars, namely intelligence, momentum, and positive experiences.

Whilst 43% of respondents believe that “intelligence” is very important, only 30% feel they are doing very well in this pillar, with around 30% feel they are not doing well enough in understanding and digesting expert advice.

“Momentum” had the largest deficit between perceived importance and real performance. Only 34% believe they have actually done well in this area, representing a gap of 16 percentage points. Around 30% are not satisfied with the frequency of seeking expert advice. Conversely, 20% do not recognize the importance of doing so, trusting themselves over experts and their professional advice.

A third claim they are doing very well when it comes to “positive experiences”. In addition, 41% felt satisfied for keeping a neutral and positive attitude towards retirement or have their family or partner support their retirement goals.

More than half of the respondents agree that mastery of these three pillars are important for retirement planning and saving, but only 30% are highly satisfied with their real performance under these pillars. In general, married persons are more proficient at retirement planning across the board, achieving a score of 58.6, compared to 52.4 for singles.

Less than half (46%) considered moving to the Greater Bay Area (excluding Hong Kong) after they retire. Macau (67%), Zhuhai (62%) and Guangzhou (60%) were the top destinations for retirement in the Greater Bay Area. Separately, 51% of respondents believe that new initiatives and developments in healthcare will increase their interest in moving to the Greater Bay Area post retirement.

Over half (55%) said they enjoy on average less than two days of “me time” per week, and look forward to spending more time for themselves after retiring.