Description: Retirement funded by personal savings, known as ‘savings retirement’, is a financial approach that allows individuals to accumulate funds throughout their working life to ensure their economic well-being in retirement. This type of retirement is based on the premise that each person is responsible for managing their own savings, which involves creating a personal fund that can be used once they stop working. Unlike traditional pension systems, which often rely on contributions from employers and the state, personal savings offer greater flexibility and control over financial resources. Individuals can choose how and when to save, as well as how to invest those savings to maximize their growth. This approach also encourages financial literacy, as savers must understand concepts such as investing, compound interest, and long-term financial planning. In a world where life expectancy is increasing and public pensions may not be sufficient, retirement funded by personal savings has become increasingly relevant, allowing individuals to enjoy a comfortable and secure retirement tailored to their specific needs and desires.
