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Young workers put no trust in pensions

THE majority of workers under 40 are only planning as far as the next pay cheque, new research has revealed.

Employees between 22 and 40 were asked about financial planning by the Irish Association of Pension Funds (IAPF).

Just 15pc said they looked beyond the next five years; 35pc of those questioned say they plan as far as the next pay cheque.

When asked what they would do with an extra €1,000, some 45pc said they'd blow it on something enjoyable like a holiday .

Only 35pc said they would consider saving it, while 20pc said they would use it to pay bills.

A total of 90pc of those interviewed were turned off by the term 'pension', finding the subject over-complex, confusing and boring.

Most lacked trust in everything to do with pensions, with 70pc suggesting that they were simply too risky and insecure.

"There is a significant lack of knowledge and a mistrust surrounding the whole area of pensions," said Jerry Moriarty, CEO of IAPF.