Singaporeans want early retirement, but many lack confidence

72% say the goal is realistic—and 43% feel confident managing their finances toward it.

A growing number of Singaporeans are targeting financial freedom by midlife, with 63% aspiring to achieve financial independence between the ages of 40 and 60, according to a new report released by CIMB Singapore.

Despite more than half of respondents believing they will need over $1m to get there, 72% still say the goal is realistic—and 43% feel confident managing their finances toward it.

The report, developed in collaboration with the Nanyang Centre for Marketing and Technology, surveyed over 500 Singapore residents aged 26 to 60 on their financial planning habits and retirement outlook.

Respondents under 30 were the most optimistic: 60% aim to be financially independent before age 40, and 54% say they’re confident in their financial planning abilities.

In contrast, confidence drops among older age groups. Only 39% of those aged 40 to 50 and 43% of those between 50 and 60 reported similar confidence in managing their finances.

Anxiety is also more prevalent amongst older Singaporeans—47% of those aged 40–50 say they “often” or “always” feel anxious about their financial future.

Amongst all respondents, the top barriers to achieving financial independence include the high cost of living, family responsibilities, and low income.

Whilst 71% have a financial plan, less than half—48%—have started planning for retirement. Many cite reliance on CPF, other financial priorities, and a lack of knowledge as reasons for delay.

The report also highlighted gaps in financial literacy. Even though insurance ranks among the top three preferred tools for financial growth, alongside savings and stocks, 39% of respondents said they are unsure how effective insurance is as an investment vehicle.