The outlook for the INPS pension scheme looks bleak, making it increasingly urgent to consider private pension funds.
Currently, only 36.9% of the Italian workforce has opted for supplementary retirement plans, as reported by Covip, with an average annual contribution of €2,810.
The question arises: how much should one have saved by the ages of 30, 40, 50, and 60 to ensure a decent pension from a private fund? This analysis requires establishing example income ranges since lower incomes translate to less capital for future investments.
Assuming an average annual return of 3% and an optimistic life expectancy of 87 years, individuals should aim for a net pension fund income that covers at least 70% of their working income.
Based on a monthly salary, individuals need to have the following amounts saved by age:
To reach these targets, the following monthly contributions are advisable:
Currently, the average monthly contribution among Italians enrolled in pension funds is approximately €234.
Encouragingly, participation in pension funds saw a positive trend in 2023, with 9.6 million individuals enrolled, a 3.7% increase from the previous year.
Yet still, only 36.9% of Italian workers have joined a supplementary pension fund.
The demographic split shows 73% of participants are employees, while self-employed individuals represent just 12.4%.
Gender imbalance is significant, with men making up 61.7% of participants.
Age-wise, almost half of the enrollees (47.8%) are between 35 and 54, while 19.3% are under 34, indicating a growing awareness among younger generations.
In total, contributions to supplementary pensions reached €19.2 billion in 2023, reflecting a 5.2% rise compared to the previous year.
Lucca Comics 2024: Dates, Tickets, and Program The countdown has begun for the most anticipated… Read More
Decree-Law No.145/2024: Overview of the Flux Decree The Decree-Law of October 11, 2024, No.145, known… Read More
ECB Keeps Interest Rates Steady Amid Eurozone Resilience The hopes of Italy for a significant… Read More