Americans Face $6.6 Trillion 'Retirement Income Deficit'

retirement fundsA new study says that Americans are $6.6 trillion short of the amount they need to retire.

The study says that falling stock values and house prices have squeezed Americans' savings, CNBC reported. Advocacy group Retirement USA commissioned the study and it was conducted by Boston College's Center for Retirement Research.

The $6.6 trillion figure is based on forecasts for retirement and income for American workers aged between 32 and 64.

"The 'Retirement Income Deficit' should be a wake-up call to Americans everywhere," Maria Freese, Director of Government Relations and Policy for the National Committee to Preserve Social Security and Medicare, told CNBC.

The study's authors assumed a 3% rate of return on assets and no further cuts in pension coverage.

"Using other assumptions, it could be much higher," Freese said.

Earlier this week, a study from Milliman Inc said that the funded status of the 100 largest corporate defined benefit pension plans fell by $108 billion in August.

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rkb7avg

If they start printing out the money now they could be done with it buy saturday

September 16 2010 at 5:38 AM Report abuse rate up rate down Reply
john

I am on Social Security now, and not by choice. I got hurt in march of 1999 in a auto accident that was not my fault, I worked till december of 99, had to have some help to do my job. I hurt so bad I had to get out of my trade. I drove gravel trains in Michigan, had to clean out the dump trailers when materials changed. I am 65 years old, geting $1146.00 a month to try to live on. Lost my house in Michigan, that was nice, and am living in a camper trailer in a friends backyard in Arkansas now trying to make things work, Pay for food, electric, propane, water, auto insurance, licence plates, clothing, not to mention the medications I have to buy. Thats what I am into.

September 16 2010 at 2:34 AM Report abuse +4 rate up rate down Reply
2 replies to john's comment
Cate

So sorry John. Hang in there!!

September 16 2010 at 2:45 AM Report abuse +3 rate up rate down Reply
Pammie

Prayers for you John. I am so sorry this happened to you.

September 16 2010 at 4:48 AM Report abuse +3 rate up rate down Reply
lodgebrook

Defined benefit plans that remain fell by 108 Billion. Loose them suckers quick! Hey, how about converting the 6.6 TRILLION into a number Mr. & Mrs. Six Pack can relate to!? Most companies are moving away from DB Plans, even the Military under the guise of more dollars in the young family's pocket will retain them in service. Collect military pension at age one collects SS and take away the DB scheme and make each veteran fund his/her own military pension via an IRA/401-K style plan.

September 16 2010 at 1:21 AM Report abuse +2 rate up rate down Reply
condon39

Get rid of the Democrat fools that think they can continue to use tax payer and OLD ss money to buy their way out of the mess they already created. To think I was one of them till I saw the fruit cakes O bama Pays to run this country like he runs his own budget, use someone elses money some one else will pay down the road, after he's just a bad memory. 2/3 of the Minority and some white trash need to Clean streets and do other city, state jobs that these Illegals do now, no work their welfare and their Accel credit cards should be taken. What they didn't earn shows up in t6heir free welfare A long time ago in Calif My family and I needed welfares help. After all the Bs and Paperwork the Supervisor said we can help you, great, we can give you $4 th tide you over. I blew up and things got worse when She said if your skin was darker we could help more.This was in southern Calif in the early 70's and My family will swear to it being the truth. Guess who helps NO ONE but family

September 16 2010 at 12:28 AM Report abuse -6 rate up rate down Reply
3 replies to condon39's comment
gardenberg

What is Chelsea Handler doing in the financial news along with this absurd story on retirement deficit????

September 16 2010 at 12:27 AM Report abuse rate up rate down Reply
hattie54

The Republicantards refuse to admit that there was NO deficit when Clinton left office.

September 16 2010 at 12:26 AM Report abuse +5 rate up rate down Reply
2 replies to hattie54's comment
condon39

because the previous republican left a surplus. guess who

September 16 2010 at 12:30 AM Report abuse -7 rate up rate down Reply
stf1958

I don't know why they shouldn't. Afterall, the Republicans controlled the nation's purse strings during his administration.

September 16 2010 at 5:52 AM Report abuse rate up rate down Reply
Capt Brian

6.6 Trillion huh? What the hell does that mean? Do Divide that by how many baby boomers there are, or how many Americans there are or what, or is that how much I need. This is about as dumb as an article as there could be. Our press must be mad, to even write such an article much less publish this gunk. Do what you want, I am saving until it hurts, then the rest of you go buy your SUV, refi your home, or whatever, the TV tells you to do, along with the rogue advertisers who advise without regard to laws nor morality. Good bye America, been good to know you. Shame on you American voters for allowing Rome to burn while Nero fiddles, hope you all had fun Capt. Brian Reminds me of the ending of the first movie,"Planet of the Apes"...

September 16 2010 at 12:06 AM Report abuse +2 rate up rate down Reply
2 replies to Capt Brian's comment
Capt Brian

English looks bad, was okay before I hit publish button, so the part after Capt Brian was a PS but does not read that way, [period after fun.]

September 16 2010 at 12:08 AM Report abuse +1 rate up rate down Reply
shirsch904

I am a boomer. In the eight years of GWB, I lost over half my retirement life) savings, and the value of our home on which we have no mortgage, was sabotaged by the mortgage scandal. I am a blue collar baby who worked hard my entire life and made sacrifices, like my parents, to achieve some degree of success and comfort for my family. With interest rates where they are, and the market in shambles, we won't live long enough to recoup our losses. We dove right into this mess like a nation of sheep. When will Americans wake up and realize that the Republican party supports capitalism and mega corporations, that their greed and our own has resulted in this economic mess, and that we as members of the working class (the 98% of us who live on 20% of the nation's working capital) must own the power that is in numbers. President Obama is providing solid leadership and improvement in our economy, despite the spin and jibberish that simply stirs the people up and ultimately renders them powerless. If ponzi scams that steal our money, and salmonella in your spinach and eggs is OK with you, vote Republican and put those people back in charge! p.s. The Tea Party is NOT the answer.

September 16 2010 at 9:38 AM Report abuse +1 rate up rate down Reply
d6ggg

deport illegal aliens and there will be plenty of jobs for Americans. deport their anchor babies and it will end overcrowded schools, overworked teachers and the need to build $500 million dollar schools like the one just built in LA for anchor babies. Getting rid of illegals will end overcrowding in prisons, reduce serious crimes, gangs and drug dealers. Getting rid of illegal aliens would kick start America immediately !!!

September 15 2010 at 11:02 PM Report abuse +18 rate up rate down Reply
1 reply to d6ggg's comment
Meme and Jack

not to mention the stores will be so much cleaner and no one so rudely blocking the aisles...

September 16 2010 at 1:00 AM Report abuse +3 rate up rate down Reply
Pat

I'm an independent but am going to send money to Christine O'Donnell. We've got to get rid of the politicians who think we need to run this country on a "business as usual" basis.

September 15 2010 at 10:37 PM Report abuse +2 rate up rate down Reply
1 reply to Pat's comment
Capt Brian

Get rid of all ins and vote in Tea Party candidates from both sides, must not allow any existing politicans back in, NONE stood up for Americans in the last many many years, Wrest back freedom from the brink....

September 16 2010 at 12:10 AM Report abuse -7 rate up rate down Reply
Moiselle

It is a wake up call. Really just what can we do as americans. Have a rally burn our bra's. Woops now I have told my age. Who is listening in congress? Who cares? Everyone can have cards everything CAN be illegally gotten. Again. Who cares? We thought Obama cared but it turns out that he is only for his party. We are tired of someone who is for only parties. We would like to have someone who cares for the people and only the people as a whole.

September 15 2010 at 10:25 PM Report abuse +9 rate up rate down Reply