Pensioners who take a cash lump sum at retirement now deplete it within an average of just 14.6 months.
This is according to Sanlam's Benchmark Survey, which found that within four to five years of retiring, half of pensioners can no longer maintain their pre-retirement standard of living.
The survey also found that one in three retirees experiences financial strain, while 47% carry debt into retirement.
"Pensioners who take a cash lump sum at retirement now deplete it within an average of just 14.6 months – a decline from the 30 months reported between 2011 and 2016.
"Within four to five years of retiring, half can no longer maintain their pre-retirement standard of living, one in three experience financial strain, and 47% carry debt into retirement."
