Determinants of Financial Planning for Retirement: A Study on Working Women in Government of Pakistan

The purpose of this research is to observe the significance of retirement goal clarity, future time perception, financial risk tolerance and attitude towards retirement along with financial literacy as a mediating variable on financial planning for retirement among female employees in the government sector of Pakistan. This research applies a quantitative method, where primary data was attained from females working in public sector education departments through a questionnaire from district Narowal, Pakistan. The sample size was 364 female teachers. The results of this investigation back up the research model in which retirement goal clarity, financial risk tolerance and future time perspective are the significant predictors of retirement planning, while the attitude towards retirement planning shows an insignificant effect on financial planning for retirement. In addition, financial literacy seems to be a mediating variable among retirement goal clarity, financial risk tolerance, future time perspective, attitude towards retirement and financial planning for retirement. The outcome of this study does have consequences on individual workers to have some primary preparation for retirement, this allows them to have a robust economic ground after retirement. The government might need to encourage particularly female employees who don’t have any retirement resources. Recently research on retirement preparation engrossed on post-retirement planning, especially in Pakistan.