Not a lot of people are thinking about saving or investment for a secure retirement, especially in China, according to a recent study. Experts say that if a 30-year-old buys one less cup of coffee per week and saves that money until retirement, they would have a huge amount of additional savings – and the earlier, the better.

Dou Xiaowei is a freelancer who runs a small company for customized travel and education services. Her previous working place provided her with a social security pension, but she also purchased a commercial pension insurance. Dou noted that a better retirement life nowadays might need more money because of inflation.

"So, I chose to use insurance to ensure I have enough money to have my personal life more colorful and affordable," she added.  

It's better to prepare more for the rainy days. As China's population ages, the government pension is less than the monthly income before retirement.

The China Retirement Readiness Survey 2019 conducted by Fidelity and Ant Fortune suggested that people need to do some targeted investment such as commercial insurance or retirement funds to keep their living standard.

Foreign companies like Fidelity are eyeing the lucrative market. Jackson Lee from Fidelity International China said the retirement survey 2019 is China's biggest retirement-related survey, and has a very significant representation of the Chinese population.

Commercial insurance has taken off since the State Council issued a document to promote the development of the funds in 2017. Professor Dong Keyong from Renmin University of China introduced that the country has started a trial practice in 2018, which requires individuals to turn in 1,000 yuan from their pre-tax salary to buy retirement insurance products.

Dong said China is developing the three pillars of retirement pension system, with the first being the government pension, the second being an annuity from the company, and the third being individuals buying retirement-targeted products.