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EZEKIEL PHALANA
South Africans are showing a growing commitment to securing their financial futures, with a significant rise in retirement planning across all income groups. However, despite this encouraging progress, rising living costs, healthcare expenses and ongoing family responsibilities continue to challenge long-term retirement readiness.
These are among the key findings of the 2026 FNB Retirement Insights Survey, now in its fourth year, which provides a comprehensive view of how South Africans think about, prepare for and experience retirement. The survey combines qualitative and quantitative research among adults aged 18 and older, offering valuable insights into the retirement journeys of consumers under 60, those over 60 and retirees.
The study reveals a notable shift in retirement behaviour, with 73% of South Africans under the age of 60 now having a retirement plan, up from 60% in 2025. The strongest gains were recorded among lower-income earners, where retirement plan ownership increased dramatically from 19% to 48%, while consumers aged 36 to 54 saw retirement planning rise from 67% to 85%.
South Africans are also committing a larger share of their disposable income towards retirement savings, increasing contributions from 7% in 2024 to 10% in 2026, reflecting growing awareness of the importance of long-term financial security.
FNB Chief Executive Officer, Lytania Johnson, said the findings indicate a meaningful shift in attitudes towards retirement planning.
“The increase in retirement plan ownership gives us confidence that the retirement conversation is gaining ground. It is particularly encouraging to see stronger planning behaviour among lower-income consumers, where the number of respondents with a retirement plan has risen significantly. While these findings reflect positive progress, they also remind us that planning for retirement is not only about saving more, but about understanding whether those savings will be sufficient to support the lifestyle and needs people expect in retirement,” said Johnson.
Despite the positive trend, the survey highlights a persistent gap between intention and action. Among respondents under the age of 60 who do not have a retirement plan, 53% cited affordability challenges, saying their disposable income is consumed by day-to-day expenses. Meanwhile, 24% said they do not know where to access suitable savings and investment products, nearly double the 13% recorded in 2025.
Johnson noted that while more South Africans are recognising the importance of retirement planning, many still need practical support and guidance to turn intentions into sustainable financial habits.
“Many South Africans want to save, but the path to retirement still feels unclear. The survey shows growing intent, but people need simpler, more accessible guidance to turn good intentions into action. As an industry, we have a responsibility to help South Africans understand where to start, what to prioritise and how to make retirement planning part of their everyday financial lives,” she added.
The experiences of retirees provide a sobering reminder of why effective retirement planning is essential. The survey found that 74% of retirees in the Personal Banking segment reported that the cost of living has been higher than expected, while 46% said healthcare costs have significantly exceeded their initial estimates.
Family commitments continue to place considerable pressure on retirement finances, with 51% of retirees in the FNB Personal Banking segment and 47% in the FNB Private Banking segment reporting unforeseen financial obligations linked to supporting family members.
According to Sizwe Nxedlana, CEO of FNB Private Banking and Wealth Management, retirement planning must be designed around real-life circumstances rather than idealised expectations.
“Retirement is often imagined as a time of independence, freedom and fewer obligations, but the survey findings show that the reality of retirement is often more complicated. Rising food prices, medical aid, insurance, family support and unexpected costs can reshape even a carefully considered retirement plan,” said Nxedlana.
He emphasised that successful retirement planning extends beyond investment growth and should incorporate considerations such as liquidity, healthcare costs, estate planning, tax efficiency and the possibility of continued work or phased retirement.
The survey further demonstrates the value of structured retirement planning. Respondents who hold capital preservation products, including retirement annuities and fixed deposits, were found to be six times more likely to have a retirement plan than those without such products. In addition, retirees without long-term retirement vehicles were two to three times more likely to experience worse-than-expected retirement outcomes.
Johnson believes the findings present a clear opportunity for the financial services sector to help more South Africans achieve financial confidence in retirement.
“Successful retirement starts with an individual taking the first planning step, but it is sustained through guidance, appropriate products and advice that meets people where they are. The financial services industry has both the responsibility and the opportunity to provide these essentials so that more South Africans can achieve the retirement they desire and deserve,” she said.
As South Africans continue to navigate a challenging economic environment, the 2026 FNB Retirement Insights Survey highlights both the encouraging progress being made in retirement planning and the ongoing need for financial education, accessible investment solutions and long-term support to help consumers build a secure and sustainable future.
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