When you’re in your twenties or early thirties, retirement can feel like a lifetime away. You’re more likely to be thinking about paying rent, saving for a house deposit, or booking your next trip than about life after work. But here’s something worth pausing on: according to the CCPC Pensions Research 2025, 38% of under-35s expect to retire before the age of 65.
That’s a big ambition, especially when you compare it to older workers who are now pushing their expected retirement age further back, with many in their sixties expecting they’ll work until 70 or beyond. In fact, the research shows that the closer people get to retirement, the later they think they’ll actually be able to stop working. Workers aged 65 and older who are still in employment expect to retire at around 71 on average. That is quite a gap between hope and reality.
The Expectation vs Reality Gap
Here’s the problem: the same research shows that 60% of 18–24 year olds have no retirement arrangements in place. No pension. No investments. Nothing set aside. Across the whole population, 26% of adults are in the same boat, but it is particularly striking among younger people who also want to stop working sooner.
In other words, there is a mismatch between when young people want to retire and what they are doing about it. Hoping to retire before 65 without a pension is a bit like planning to run a marathon but never training for it.
The report also highlights that three in five people without any pension expect to rely on the State Pension to fund their retirement. That is a worrying trend because the State Pension only provides a basic income. It is designed as a safety net, not a lifestyle fund. What makes this reliance even more concerning is that the system itself is under mounting pressure. Ireland’s old-age dependency ratio is projected to almost double over the coming decades, meaning fewer workers will be supporting more retirees, and the State Pension bill has already jumped from €6.5 billion in 2013 to over €10 billion in 2023.
Independent assessments, such as Mercer’s Global Pension Index, have warned that Ireland’s pension system is slipping in sustainability rankings, largely because the State has avoided difficult reforms like raising the pension age. The government has already introduced changes such as the option to defer drawing the pension until age 70, a signal that further adjustments may lie ahead. In short, assuming the State Pension will always be stable and sufficient is risky, which is why building your own pension is essential.
Why Are Young People Delaying?
The survey asked people why they don’t have a pension yet. The top reasons included:
- 25% say they simply can’t afford it right now (understandable with today’s cost of living pressures)
- 19% admit they just haven’t gotten around to it
15% say they are too young to even think about it
A further 13% point to unstable employment as a barrier
It is easy to see how this happens. Retirement seems so far away that putting money aside for it feels like something “future you” can worry about. But the research also shows the danger of that mindset. Among people aged 55 and older who still don’t have a pension, 40% now feel it is too late to start.
The Power of Starting Early
Here’s where the maths bites. Pensions grow through compounding. The earlier you start, the longer your money has to grow. Let’s say two people both want a retirement pot of €300,000. If one starts saving at 25, they might need to put away €200 a month. If the other waits until 35, they’ll need closer to €400 a month to hit the same goal.
That ten-year delay doubles the effort. And for many, it becomes almost impossible to close the gap later without major sacrifices. Want to see how much your money could grow over time? Try out our Investment Calculator to get a clear picture of the difference starting early can make.
The research also shows that nearly half of private sector workers with pensions wish they had started sooner. It is one of the most common regrets in retirement planning. The longer you delay, the more you’ll wish you had acted when you had time on your side.
Regret Later in Life
The CCPC study found that 32% of people who already have a pension wish they had started earlier. That figure climbs to 48% among those aged 35–44, who are starting to realise just how much ground they need to make up. By contrast, 83% of those aged 65 and older feel they started at the right time, a reflection of the fact that many older workers in the public sector had pensions automatically set up for them.
It is a telling difference. Those who had their pension arrangements made simple are the ones who feel more secure. Those who had to figure it out themselves are the ones carrying regrets.
Low Engagement, Low Understanding
Another striking insight is how little people actually engage with their pensions. Two-thirds have never spoken to a financial advisor about retirement planning, and less than half regularly review their annual pension statements. Among younger people, the numbers are even starker. Just 13% of under-35s have spoken to an advisor.
Knowledge gaps also extend to the auto-enrolment retirement savings scheme. While the government is promoting it as a way to ensure workers build up a private pension, the CCPC found that 60% of people don’t understand how it will work. Among those with no pension, almost two-thirds said they had no grasp of the scheme.
That lack of clarity means many people aren’t factoring it into their future planning, even though it could make a big difference to long-term outcomes.
Can You Really Retire Before 65?
Retiring before 65 in Ireland is possible, but only if you are realistic about the numbers. Relying solely on the State Pension will not cut it. At the moment, 75% of people plan to use the State Pension as part of their retirement income, but it only provides a basic level of support. If your dream is to finish work early and enjoy real financial freedom, you will need something more substantial in place.
It is also worth noting that expectations shift as people age. Younger workers think 64 is achievable, but older workers in their sixties expect they will have to work until 71. That gap should be a wake-up call. The earlier you start planning, the more control you will have over your retirement timeline.
So, What’s the Next Step?
If you’re under 35, the best time to act is right now. Even if you can only afford a modest monthly contribution, it is about building the habit and letting time do the heavy lifting. Think of it as paying “future you” first.
At Riordan Financial, we make pension advice straightforward. Whether you want to understand your options, set up your first pension, or map out how to realistically retire before 65, we’re here to guide you. It is not about jargon, it is about giving you clarity and confidence.
Get in touch with Riordan Financial today and start putting the foundations in place for the retirement you actually want, not just the one you imagine.