Marketplace money had a good story over the weekend about the financial impacts of living to be 100. You can read/ listen to it HERE. The story profiled Horte Guttman who is now 102 years old. Unfortunately she ran out of money at age 98 despite good financial planning. According to the story a new study indicates that most babies born after 2000 in developed nations will live to be 100. As our life expectancy lengthens it becomes increasingly important for financial planners to account for that in calculating retirement needs. The bottom line is we’ll all have to save more and possibly work longer than we previously thought.
Tag: retirement planning
Retirement Survey Shows Many Americans Don’t Know How Much it Will Take
Each year the Employee Benefit Research Institute conducts a survey about American’s financial preparation for retirement. The results from this years survey were just released and show a couple troubling trends. You can read the entire report summarizing the results HERE. But if you prefer the executive summary like me here are a few cliff notes:
*Only 16% of workers surveyed stated that they were very confident about having enough money for a comfortable retirement.
*Only 19% of retirees said they were very confident about having a financially secure retirement.
*More than half (54%) of workers surveyed reported that the total value of their household savings and investments was less than $25,000.
*Less than half (46%) of workers reported that they have tried to calculate how much money they would need to accumulate in order to insure a comfortable retirement.
If you are like a majority of workers and haven’t taken the time to calculate your capital accumulation needs then you can contact a financial planner (I’d be happy to help) or check out this blog post which has many retirement calculators.