Mrs Bruin said the key was to start planning. If over 50, it would be wise to increase KiwiSaver contributions and reduce bad debt on credit cards and high interest credit, she said.
"Not putting money aside will make you more reliant on the pension, which will only cover the basic cost of living. People are working longer because they are usually healthier and still able to work, but also can't afford to retire due to their financial position.
"We are experiencing more people struggling on a pension and seeking help. This is also due to low-interest returns on their investments and often getting into high-interest debt."
Tauranga and Western Bay Grey Power president Christina Humphreys said the organisation often saw people who had not thought about retirement.
"There are that many who are over 100 - if you retire at 60 or 65 you've got another 30 or 40 years you have to fund. It's a long time to live with no real income," she said.
"That is why you have to plan to have other money. A lot of people don't. Some people are lucky enough if they have their house and their car paid for, then they try and live off the pension." However, with the cost of living continually rising, it was a gamble, she said.
Mark Lister, of Craigs Investment Partners, said some people managed to live off the pension but many could not.
"Part of that will come down to how frugal do you intend to live in retirement. Do you want to be taking holidays to visit the kids and the grandchildren?
"A lot of it comes down to the individual but what this survey is telling me is people are not even giving thoughts to these sorts of issues until the very last minute," he said.
"The first thing they should be doing is sitting down and thinking about it and giving some consideration in what they might want to do, how long they think they will be able to work for, how they intend to pay for their retirement and what kind of lifestyle they intend to lead."
