Durban -
There are some people who believe they will live to more than 120 years of age.
This was revealed in a survey conducted among 600 adults in the fifty-plus age group and earning a joint income of at least R14 000 a month.
More than half expect to live well into their eighties “but only 1.3 percent believe they will live to be over 120, according to a summary of the key findings of the survey, carried out in Durban, Cape Town, Joburg and Pretoria.
The Sanlam Life Surprises survey offers insights into older South Africans about surprises that caught them off-guard in a significant positive or negative manner.
And 78.5 percent of respondents claimed to have had unexpected life events – good and bad – and most are unprepared to deal with them.
Less than a third expect to outlive their partners – the majority (35 percent) are uncertain how many years longer they will live, although just over a fifth expect to outlive their partners by five to 10 years.
Almost 30 percent expect to live for more than 10 years after their partner dies.
Most respondents expect to die of old age (46 percent) or illness (13.8 percent).
Some 97.2 percent of those who lost savings or pension savings rated this event as having a devastating or high financial impact, while 93.7 percent of people who faced the closure of their own business rated the financial impact as being devastating or high.
Another finding is that 40.5 percent of people are supporting a family member who they were not expecting to support.
Grandchildren (44 percent), children (43.6 percent), extended family members (20.2 percent), parents (12.8 percent) and spouses (11.1 percent) are cited most as having to be unexpectedly supported.
The respondents had many financial regrets, with 74.3 percent saying they would change something in their financial plans, while 82.3 percent wished they had done more to be better financially prepared for life.
Asked what they would change, 54 percent said it was to save more of their earnings, 47.5 percent said it was to start saving for retirement earlier, while 43.7 percent answered it was to provide for unexpected life events.
And 42.6 percent wanted to spend less and 14.3 percent said they would get advice from a financial planner.
As to their advice to younger people, they said “save more and start earlier”.
The survey revealed that less than a third had used a professional financial planner to help them achieve their financial and life goals.
Jaco Coetzee, the general manager of Sanlam financial advisers, said there were huge risks associated with not consulting a qualified professional adviser.
“The bottom line is that consulting a professional financial adviser will give you peace of mind that whatever curveball life throws at you, you will have a plan in place that will mitigate at least some of the unexpected financial consequences.”
Apart from catering for potential negative events, Coetzee urged people to tell their advisor about their dreams, concerns, aspirations and priorities, so that they are able to plan the best possible financial future.