A new survey indicates that most middle class Americans plan to save up a specific amount before retiring and put less emphasis on a given retirement age. Many even plan to work into their eighties in order to live comfortably in retirement.
The survey results, released by Wells Fargo, indicate that three-fourths of middle class Americans expect to work in their retirement years. About 54 percent of those aged 40 to 59 say that they will need to work in retirement to live comfortably in their golden years, and only 25 percent say they will work in retirement because they want to. A quarter of all respondents said they will need to work past aged 80 in order to maintain a comfortable quality of life in retirement.
“The fact that the vast majority of middle class Americans expect to work well past the traditional retirement age has significant societal and economic implications,” said Joe Ready, director of Wells Fargo Institutional Retirement and Trust. “Will people be physically and mentally able to work later in life? What will it mean for young people entering the workforce? And, how does our system of retirement savings need to be reformed to help reduce the savings gap?”
The median retirement savings goal was 350,000 dollars, while 29 percent of people in their 60s have saved less than 25,000 dollars for retirement. Furthermore, respondents significantly underestimated the cost of the healthcare expenses they will likely pay in their retirement. Most of those surveyed estimated a median of 60,000 dollars in costs, while only 20 percent estimated 100,000 dollars or more, which is a more accurate prediction for health care costs.
Read the press release describing the findings, 80 Is The New 65 For Many Middle Class Americans When It Comes To Retirement, Wells Fargo Retirement Survey Finds.
Financing Senior Living – Consumer Education, Long Term Care Insurance Education
A couple in their 60s can expect to pay between 7 to 10 percent less in 2016 when purchasing long term care insurance (PDF) when compared to a year ag...
Financing Senior Living – Consumer Education, Long Term Care Insurance Education, Reports
While there’s no single solution to address the growing appetite for affordable long-term services and supports that would be politically or financial...
cheatsheet, Consumer Intelligence, Facts and Figures, Financing Senior Living – Consumer Education, Health Care, Medicare, Reports
The Congressional Budget Office recently released projections showing Medicare enrollment is expected to grow by more than 30 percent within the next ...
Federal Agency Activity, Financing Senior Living – Consumer Education
Earlier claiming of Social Security benefits by men and women has detrimental effects on widowed seniors, particularly.
Consumer Intelligence, Facts and Figures, Financing Senior Living – Consumer Education, Reports
Only about half of full-time private sector workers, or about 49 percent, participate in a workplace retirement plan and about 58 percent have access ...
Federal Agency Activity, Health Care, Medicare, Medication Technology & Informatics
Expenditures for new drugs were concentrated among just a few drugs and most were costly for Medicare beneficiaries, shows a new Government Accountabi...
Facts and Figures, Financing Senior Living – Consumer Education, Reports
Hispanic older adults face challenges including access to retirement planning, long-term services and supports, healthcare and medication benefits and...
The Consumer Financial Protection Bureau has unveiled an interactive, online tool designed to aid consumers in deciding when to claim Social Security ...
Consumer Funding Resources, Consumer Intelligence, Long Term Care Insurance, Medicaid, Medicaid
Although there is no ideal solution, more Americans would have a greater incentive to purchase long-term care plans if those plans were changed and th...
Social Security has been a remarkably successful program in reducing poverty for older adults, but this achievement will be challenged by its long-ter...