On last week’s Crash Proof Retirement Show, political insider Dick Morris and former Federal Reserve official Andrew Huszar joined Phil Cannella and Joann Small for a panel discussion entitled “Is There A Retirement Crisis In America?” The panelists agreed that there is indeed such a crisis, and now research is backing up their opinions.
A recent study from Bankrate.com found that more than 1/3—36% to be precise—of Americans have saved virtually nothing for retirement. The survey polled people from age 18 to those 65 and older.
The survey also examined retirement savings by age group. Of those who answered the survey, 14% of Americans age 65 or older admitted they have less than $1,000 saved for retirement, compared with:
- 26% of people between ages 50-64
- 33% of people between ages 30-49
- 69% of people between ages 18-29
Other eye-popping statistics included the fact that 60% of workers across all age groups have saved less than $25,000 towards retirement. Cost of living and day-to-day expenses were the two most common reasons given for neglecting their golden years.
While the survey found that many younger Americans are starting to turn an eye towards retirement savings at a younger age, the number of people who are uncomfortable with their level of savings doubled from 16% to 32% since last year’s analysis.
“Month in and month out, consumers sound a dour tone about how they feel about their overall level of savings,” said Greg McBride of Bankrate.com. “Many people know they are under saved—whether it’s for emergencies, retirement or both.”