Have you thought about a retirement plan? If so, do you think you have enough money to retire and live comfortably?
Apparently, many people have little to nothing saved for the next chapter, however more than half of those people believe that when the time comes, they will have enough saved to live comfortably. The Employee Benefit Research Institute sponsored the survey of 1,000 people age 25 and over, asking questions pertaining to an individual’s confidence in their retirement plan. In the study, Employee Benefit Research Institute found that about 50% of the people surveyed have less than $25,000 saved for retirement. About half of those workers have said that combined with their spouse, they have less than $1,000 saved for retirement.
Obviously, when talking retirement, the age-range of retirees is an important aspect to factor into the amount saved. According to reports, $25,000 is a decent amount to have saved by the age of 30, if an individual is earning $50,000 a year, as many financial advisers encourage workers to put away about 10% of their income, annually. However, based on the survey, more than half of the individuals involved say that they are content with putting away much less. However, the bigger issue with the lack of retirement preparation and savings, is not that people won’t save, it is that they don’t have the means to.
According to CNN Money, most of the people who have reportedly saved less than $1,000, don’t have access to a retirement savings plan at work, i.e. 401(k). As a whole, about 55 million people in this country don’t have access to such a plan. However, in an attempt to combat this issue, President Obama instituted a new program called the myRA, which is a start-up account that is sponsored by the government.
Are you on track to retire and live comfortably? How much do you think you should have saved by retirement? #BallerificFinance