Take a free ‘Midlife MOT’: New 5-minute money test from the Government

A free tool is now available on the government’s MoneyHelper website for people aged 45 to 65 who want to get their finances in order.

The MoneyHelper Midlife APK provides a personalized report to help people understand what they need to prioritize to improve their financial position before retirement.

MoneyHelper says you don’t need any documents or additional information to use the tool, which takes about 5 minutes, and everything you enter is kept completely anonymous, but you can download your results.

The initiative aims to help people revise their skills and break down labor market barriers, ultimately boosting economic growth.

The Department for Work and Pensions says Midlife MOTS was originally launched in job centers across England, where work coaches helped applicants plan for later life and boost their confidence.

But it is now being made available to everyone as part of a wider plan to help older workers look for and find work, and to help those already in work find out what support is available.

Some of the UK’s largest finance firms also offer free ‘midlife MOTs’, aimed at people who want to take stock of their current finances and plan for the future.

Here we tested an online APK course devised by Legal & General and the Open University, and here an APK from Aviva.

Meanwhile, some financial firms have launched flat-fee money coaching services in an effort to reach people who don’t want to pay for full financial advice.

“We are all living longer and planning for later life is essential, but knowing where to start can be daunting,” says Employment Minister Guy Opperman.

Our digital Midlife MOT is open to everyone and easy to access, giving people the tools to make informed decisions – about their personal finances, their health and their careers.

“I would especially encourage older people to invest the time to see exactly what it can do for them.”

Jason Hollands, managing director of asset manager Evelyn Partners, said: “The Midlife MOT is a government recognition that a large segment of the population is ill-prepared for their financial future, with relatively few middle-aged UK workers having a clear picture of what kind of pension prepares their current savings – including cash deposits, ISAs and investments, as well as pensions – for them.

“While this is welcome, there are of course limits to what can be achieved with a one-off “online apk” and we believe much more needs to be done to broaden access to the educational financial support that so many people need and would like to see. want to take advantage of.

‘Professional financial advice is followed by only a modest segment of the population, even though many admit to having little confidence in managing investments and pensions.

“Much of the population is currently underserved by the financial advisory industry, but better use of technology plays an important role in broadening access to support and making it more affordable.”

Becky O’Connor, director of public affairs at financial firm PensionBee, says: ‘It is especially good that the Midlife APK resources are aimed at people between the ages of 45 and 65.

‘If people start thinking about retirement at the age of 45, ten years before they can have their pension for the first time, they still have about ten years to make up for lost time.

‘People usually start thinking about retirement after they turn 40, but they often don’t know where to start. So this could be a good first step.

“However, what this initiative cannot address are some of the bigger issues that prevent people from working and building their retirement pot later in life, such as age discrimination in the workplace, lack of flexibility and part-time work and the need to take care . for dependents.

‘The need for care often arises when someone is in their fifties, so that people who would otherwise like to continue working can take early retirement or have to work fewer hours.’

Alice Guy, head of pensions and savings at Interactive Investor, says: ‘As it stands, many older workers will rely primarily on state pensions and only have a small private pension, as many smaller employers did not offer an automatic pension prior to 2012, when employer auto-enrollment rules came into effect.

‘It is especially positive to see that the MOT focuses on retraining older employees. Gone are the days of a job for life and many employees have several careers within their working life.

The elephant in the room is that older workers are often discriminated against in the workplace and may find it more difficult to find work once they reach their 60s.

“Some employers may also be less flexible when it comes to hiring older workers, who may have to work part-time to balance care responsibilities.”

She adds: ‘While moving into middle age is a positive step for many workers, we also need to recognize that not everyone is healthy and strong enough to work into their late 60s, especially with physical jobs and living conditions changing. ‘