SME owners planning to work longer hours
A WIDNES chartered accountant has spoken out after research revealed most leaders of small and medium-sized enterprises (SMEs) plan to work past 65.
A survey by Aldermore of 1,008 senior SME decision-makers revealed that 73% of business owners are planning to work beyond their state pension age.
Almost two-thirds – 63% – of business owners would like to retire by 65, but only 37% think they will be able to.
In fact, more than a third plan to work into their 70s, and 11% believe they will never be able to retire.
SME owners gave various reasons for working longer, with nearly half planning to do so because they enjoy their work.
However, the decision is based in necessity for ● many others, as 34% do not think they will have enough money to live comfortably otherwise.
Nigel Holland, of Holland & Co Chartered Accountants on Widnes Road, said: “Running your own business comes with a lot of responsibility along with long hours and having to face challenges and difficulties along the way. Although many business owners state that they would like to retire before they reach the age 65, as stated above, many believe they will still be working past this age and some even think they will never retire.
“Some have said that they will still be working past the state pension age to ensure that they can make ends meet, as well as providing funding for family members.
“Although many business owners enjoy their work and are very passionate about it and are therefore making the most of the opportunity to be their own boss.
“Furthermore, it is important that business owners plan for their retirement well in advance as copious amounts of business owners now are working well past the state pension age in order to make ends meet.
“When they were asked how they would finance their retirement it was found that ‘over two fifths plan to use their personal or state pension, with one fifth dipping into other savings or investments’.
“Therefore it is crucial that a plan is made so that SME owners can have a relaxing and enjoyable retirement.”