SURVEY: Nearly Half Of Americans Aren’t Saving For Retirement
Almost half of Americans are not contributing to a retirement plan, and many say it is because they can’t afford to, according to a new survey by Windsor-based LIMRA.
The survey, released Wednesday, says 49 percent of Americans aren’t putting money into any type of plan — such as an IRA or a 401(k). Young Americans are saving even less — 56 percent of those between 18 and 34 are not saving for retirement.
“The findings from this survey were disturbing, given that people will increasingly need to rely on their personal savings to make ends meet in retirement,” said Matthew Drinkwater, associate managing director, LIMRA Retirement Research. “It was especially troubling to see that a larger portion of younger Americans – who are less likely to have a defined benefit plan – are not saving for retirement in IRAs or defined contribution plans. In order to have the adequate savings necessary to meet their financial needs in retirement, which could last 20 or more years, it is critical that these individuals begin saving systematically early in their working years.”