Filipinos face a significant challenge when it comes to preparing for retirement. According to the newly launched Retirement Index by InLife, the country’s largest Filipino life insurer, the average retirement index for Filipinos is only 47 out of 100. This score highlights the need for better planning and awareness, since retirement is more than just having enough funds to last through one’s senior years.
The Retirement Index was designed by InLife to provide a holistic measure of retirement preparedness. It looks at six interconnected factors: life stage, personal finances, health, pension program participation, retirement sentiment, and social support. To develop the Index, InLife used a multi-method research approach, combining expert interviews with economists and psychologists along with survey data from 1,000 respondents aged 18 to 59 years old. Scores were calibrated on a 0 to 100 scale for easy interpretation.
Chief Marketing Officer Gae L. Martinez explained that the Retirement Index shows retirement should be seen as an emotional, social, and cultural journey, not just a financial milestone. She emphasized that focusing solely on money means missing out on other important pillars that make retirement secure and meaningful.
Key findings from the InLife Retirement Index reveal that Generation X scored the highest at 54, largely due to their life stage, stable income, and financial responsibilities as breadwinners or parents. In contrast, Gen Z scored the lowest at 36, with many younger and single individuals showing lower retirement preparedness. However, many Gen Z and young millennials reported having clear plans about their future, even if these are not yet tied to concrete retirement strategies.
The study also found that insurance, investments, and emergency preparedness significantly boost retirement readiness. InLife policyholders had a much higher score of 62 compared to non-policyholders, who scored 42. Those who are married, millennials, or have small families tend to be more prepared for retirement, often building passive income streams and demonstrating better long-term financial planning.
Pension program coverage is another crucial factor. The survey found that coverage is concentrated among married individuals and parents, while informal workers and singles remain vulnerable. Many Filipinos work in the informal sector, resulting in low participation in state-sponsored pension plans like SSS and GSIS. This leaves them exposed to greater risks in the future when it comes to retirement and health.
Social support also plays a vital role in retirement preparedness. Filipinos who scored high on the index often had strong social networks, highlighting the emotional and social dimensions that encourage engagement in retirement planning. The Index also revealed a gender gap, with women averaging a score of 45 compared to men’s 49, mainly due to differences in formal employment and investment opportunities.
Martinez said that the Index serves as a guide for action, encouraging families, communities, and institutions to normalize conversations about retirement. She stressed the importance of raising awareness so Filipinos can become more confident and prepared to retire without worries.
To address these needs, InLife introduced Retire Assure, the first true retirement insurance product in the Philippines. Retire Assure provides a guaranteed monthly income starting at age 60 or 65 and lasting until age 100. It offers flexible payment options and includes cash dividends that can grow over time to help cope with rising living expenses. There is also Retire Assure 2, a two-pay variant recommended for professionals moving into senior roles who want lasting security instead of market-driven uncertainty.
Earlier this year, InLife published “Retire Without Worries: Your Roadmap to Living Life to the Fullest,” a research paper highlighting the importance of retirement planning. The study stressed that rising healthcare costs, longer life expectancy, and changing family structures make it more important than ever for Filipinos to plan ahead. InLife’s commitment remains strong in empowering Filipinos across generations to help them enjoy a lifetime of security and well-being. For those interested, InLife’s Retirement Index Calculator and more information about Retire Assure are available on their website.