Women aged 35-49 in Sweden are significantly more likely than men of the same age to experience financial anxiety and uncertainty over how working-life decisions affect their pension, according to research highlighted by Skandia.

The research, conducted by GlobeKnot with survey data from Novus and funded by Skandia, found that 40 per cent of women aged 35-49 reported financial anxiety, compared with 27 per cent of men in the same age group.

It also found that 37 per cent of women aged 35-49 said they had a poor understanding of how decisions made during working life affect their future pension, compared with 22 per cent of men.

In addition, the report revealed that 39 per cent of women in this age group typically had no money left at the end of the month, compared with 18 per cent of men in the same age group.

It said this reflected a combination of higher everyday costs, midlife responsibilities, weaker financial margins, and lower confidence in being able to continue working until retirement.

Skandia pension economist, Mattias Munter, said: “For those who have difficulty making ends meet, retirement can feel distant. At the same time, many of the decisions that affect retirement are made in the middle of working life, for example about working hours and occupational pensions. Therefore, it needs to be easy to understand what the choices mean.”

He added that better knowledge of pensions could help people build a clearer picture of their future finances and the options available to them.

Meanwhile, the report also found a broader knowledge gap around pensions.

Just one in four respondents said they had a good understanding of how choices in working life affect their pension, while 55 per cent said they should be more active in their pension planning than they currently were.

Munter stressed that workers did not need to become pension experts, but should understand whether they had an occupational pension, how much was being paid in and how changes such as reducing working hours or changing jobs could affect retirement outcomes.

“This gives you a better opportunity to make decisions that work both now and in the future," he noted.

The wider GlobeKnot report also found that only 37 per cent of respondents believed their pension would provide them with a good life in retirement, while 81 per cent wanted to retire before the target retirement age.

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