Survey On Retirement Savings
Survey On Retirement Savings
Bankrate Survey On Retirement Savings
In the 2021 Bankrate survey, more than half of workers say they are behind on retirement savings. And the worst part is many of the accounts are moving in the wrong direction. Because workers have taken early withdrawals due to the pandemic.
The survey shows that 52% of US workers say their retirement savings are not where they need to be. And 16% are not sure whether they are on track. While only 21% say they are where they need to be. Only 11% said they were ahead of plan.
Many US workers have been forced to raid their retirement savings to stay afloat. Of workers with a 401(k) plan or (IRA), 51% have taken an early withdrawal. Including 20% who have taken one since the pandemic began in early 2020.
“Saving for both emergencies and retirement are vitally important to current and future financial security!” Says Greg McBride, CFA, Bankrate chief financial analyst. “Even a modest emergency fund acts as a buffer from early retirement account withdrawals. When unplanned expenses arise, an emergency fund allows the power of compounding to continue to work its magic.”
Surprisingly, nearly 36% of US workers said they’ve never had a retirement account such as a 401(k) or IRA.
- More than half of households earning less than $100,000 annually are behind on savings. Including 58% earning less than $50,000 and 52% earning $50,000-$99,999.
- But even 46% of households earning at least $100,000 annually claim to be behind where they should be.
- Nearly 60% of Generation X said they were behind.
- More than 56% of baby boomers said they felt behind schedule.
Bankrate surveyed 2,225 US working adults about their retirement savings.
There is a lot more to consider when putting money into retirement savings than just investing in the market. Is your advisor helping you to find the money to spend, save, invest, insure and plan wisely for the future! So you can “Live Debt Free and Truly Wealthy!“
Are you on time to reach your retirement savings goals? Is that something you should look at right now?
Use Cash Value Life Insurance For Tax-free Retirement Saving
Tax-free retirement strategies such as Roth IRA’s, Roth Conversions, Roth 401(k)’s, and a properly structured cash value life insurance contract, commonly referred to as a “LIRP,” or Life Insurance Retirement Plan are used in combination to structure a tax-free income stream. The key is to have multiple streams of tax-free income, none of which show up on the IRS’s radar as provisional income. But all of which contribute to you being in the zero percent tax bracket in retirement.
