Study: Americans are worried about their financial preparedness

Detroit,MI – In a recent study conducted by Northwestern Mutual, many Americans are insecure about their retirement and even having the security to pay bills. 

Nearly 33% of the adults said that they are within three paychecks of needing to borrow money and may have to skip paying a bill. 

These financial woes continue into retirement as well. According to their 2019 Planning and Progress study, more than 18% of Americans have less than $5,000 saved for retirement. 

More than half of the Americans also feel that they do not know how much they need to retire comfortably, and more than a fifth believe that it is not likely that social security will be available when they retire.  Many feel that they will outlive their savings, but they have not taken any steps to address it. 

Not only is there push back on savings, but on the age of retirement, too. According to the study, 46% of  Americans expect to work past the traditional retirement age of 65. Some even feel that they will work past the age of 74. 

Even though most Americans participating in the study will be working past the age of 65, only 47%  feel that it will be out of necessity and for others it will be by choice.

From generation to generation surveyed for the study, the results showed slight differences in savings and retirement . Nearly 20% of  baby boomers have less than $5,000 saved for retirement, but for Generation X it is 21%. Both generations feel that they will work past the age of retirement. 

Senior director of planning, Emily Holbrook, at Northwestern Mutual feels that people are skating on some very thin ice financially. She states that there signs of a little improvement, but for most Americans, there is no way to improve without having a plan. She continues with a hopeful message in that the study showed as people age financial discipline becomes more of a priority.  

 

 


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