South Africa's retirement planning landscape is evolving, but a critical gap remains between intention and action, according to the 2026 FNB Retirement Insights Survey. This comprehensive study, now in its fourth year, sheds light on South Africans' attitudes and behaviors towards retirement planning, revealing both progress and persistent challenges.
The survey, which combines qualitative and quantitative research among adults aged 18 and older, highlights a meaningful shift in retirement behavior. More South Africans are actively taking steps to secure their financial futures, with significant improvements recorded among lower-income earners and those in their peak earning years. This growing awareness of long-term financial planning is a positive trend, but it's not yet translating into widespread retirement readiness.
Lytania Johnson, CEO of FNB, emphasizes the importance of this shift, stating, 'The increase in retirement plan ownership gives us confidence that the retirement conversation is gaining ground. It is particularly encouraging to see stronger planning behavior among lower-income consumers.' However, she also notes the gap between intent and action, saying, 'Many South Africans want to save, but the path to retirement still feels unclear.'
The survey reveals that financial constraints are a significant barrier to retirement planning. Among respondents under 60 without a retirement plan, 53% cite affordability as the main issue, spending all their disposable income on other expenses. Additionally, 24% struggle to access savings and investment products, a figure that has doubled since 2025. This highlights the need for simpler, more accessible guidance to help South Africans turn their retirement intentions into reality.
Retirement brings unexpected financial pressures, even for those who have planned meticulously. The survey found that many retirees face expenses that exceed their expectations. Nearly three-quarters of retirees in FNB's Personal Banking segment report higher-than-anticipated living costs, while almost half face unexpected healthcare expenses. Housing, emergency costs, and family obligations also strain retirement finances, with over half of over-60s in both segments experiencing financial surprises due to ongoing family commitments.
Sizwe Nxedlana, CEO of FNB Private Banking and Wealth Management, underscores the complexity of retirement planning, stating, 'Retirement is often imagined as a time of independence, freedom, and fewer obligations, but the reality is more complicated.' He emphasizes the need for retirement strategies that consider liquidity, healthcare expenses, estate planning, family support, tax efficiency, and the possibility of continued work or business interests.
The research underscores the value of structured retirement planning and long-term savings vehicles. Respondents with capital preservation products, such as retirement annuities and fixed deposits, are six times more likely to have a retirement plan. People over 60 without long-term retirement vehicles are more likely to experience disappointing retirement outcomes. This presents an opportunity for the financial services industry to improve retirement outcomes across South Africa.
Johnson concludes, '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 the responsibility and opportunity to provide these essentials so that more South Africans can achieve the retirement they desire and deserve.'
In summary, while South Africans are making progress in retirement planning, the survey highlights the need for simpler guidance and more accessible financial products to bridge the gap between intention and action. The reality of retirement is complex, and successful planning requires a comprehensive approach that considers various financial aspects.
