Americans Getting More Worried About Retirement

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Americans Getting More Worried About RetirementThree separate surveys released this week show rising levels of anxiety among Americans over when -- or whether -- they'll be able to stop working.

On Tuesday, Ameriprise Financial (AMP) released a study that examined retirement readiness among people aged 40 to 75 in the nation's largest cities. Respondents were less confident about their ability to retire than they were last year. The financial services company also found increased reports of anxiety and depression surrounding retirement.

On Wednesday, several news outlets picked up the headline of Wells Fargo's (WFC) latest survey: 80 is the new 65. "The concept of 'a retirement age' is going the way of the typewriter," a press release proclaimed. That same day, a joint study produced by the Society of Actuaries, LIMRA and the International Foundation for Retirement Education reported that although confidence among retirees is returning to pre-crisis levels, significant gaps remain in understanding of what they're facing, and in planning for life after work.

The Actuaries' study, titled The Financial Recovery for Retirees Continues, is an attempt to measure the impact of the 2008 economic downturn on retirees' finances. The authors surveyed 461 retirees who had $100,000 or more in investable household assets in 2008, and who had participated in two previous surveys.

Many retirees grew more frugal in the downturn: 74% described themselves as more conservative and 46% had no debt in 2011, up from 38% in 2010. Possibly as a result of that, confidence is nearly back to pre-recession levels -- 85% of those surveyed this year say they are pretty sure they'll have enough money to live in retirement. In 2009, only 79% felt confident. In 2008, before the downturn really kicked in, the level was 88%.

But retirees aren't planning adequately, the study found. Many aren't taking into account that their retirement may last for 20 years. Only 45% of respondents believed that their retirement assets would need to last 20 years. In 2008, that number was 65%. "It's clear that retirees are hoping for the best or even taking an autopilot approach," wrote one of the study's authors.

The authors offer some suggestions for retirees. In a conference call with reporters, Betty Meredith, director of education and research at the International Foundation for Retirement Education, advocated new longevity insurance products that provide guaranteed income after a certain advanced age. She said that using those, as well as delaying Social Security and working a few more years, "could help a lot of boomers who are not prepared."




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robert

we need to take america back vote all s.o.b.s out of office take away there future and life as they know it they are so out of touch it is disgusting shame on them the shame they have brought on america will never recover with them and the greedy bastards all the congress and senate have stock in the banks and know wonder they got the bail out they all won not us get rid of then vote you sheep vote..........

November 22 2011 at 9:52 AM Report abuse -1 rate up rate down Reply
Benji2264

JUST KEEP THE POLITICIANS OUT OF THE SOCIAL SECURITY FUNDS AND ALL WILL BE WELL............THEY BEEN AFTER THE COOKIE JAR SINCE THEY FOUND OUT ABOUT IT SOME 60 YEARS AGO..........REPLACE ALL THE POLITICANS IMMEDIATELY WITH AVERAGE FOLK THAT HAVE OUR BEST INTERESTS IN MIND AND THIS COUNTRY WILL PROSPER...WE NOW HAVE PEOPLE WHO ARE TOO FAMILIAR WITH EACHOTHER AND WITH THE LOBBYISTS ..GET AMERICA BACK ON TRACK.

November 22 2011 at 9:02 AM Report abuse rate up rate down Reply
Tom Harrell

Grandpa and Grandma sure didn't worry about THEIR retirement. They knew that, NO MATTER WHAT, their Sociial Security would be paid for because their Kids and Grand Kids had ACCEPTED the Burden of paying for it, assuming that when it came time for THEIR retirement that it would STILL be there.
And ya know WHAT-----It's STILL there.------ It was GOOD in 2000 (and getting BETTER) then somebody stuck ther Finger in it.
It's Still there but if that FINGER doesn't get AMPUTATED then Grandpa and Grandmas LEGACY is gonna DIE from the INFECTION.

November 22 2011 at 8:35 AM Report abuse rate up rate down Reply
bdgrizcp

I just turned 61 and have no plans to retire anytime soon, even though I probably could within 2-3 years. I've worked at least part-time every year since 1967 (on the books) and before that delivered papers, picked produce, worked on a dairy farm--anything to make money. Since 1974 I have been ot of work no more than three weeks (twice), working full time the entire time. So you can guess how I feel about Social Security--I've earned it. What upsets me most, though, is what's happened to the traditional means of funding 'the golden years': retirement plans replaced by volatile 401-k's, house values looted, retirement savings used to cover long-term lay-offs. This triple-whammy is what's at the bottom of this mess, and it's hurt a lot of people.

November 22 2011 at 7:39 AM Report abuse rate up rate down Reply
Pam Miller

Wake up lemmings, there will be NO retirement. You can kiss all that money you paid into social security all your life goodbye as well. At least a some of you, or your parents, were able to collect some of it back. The one world govt is the focus of the Fed and our administration now. I highly suggest, you have a plan B, and stop believing the people involved in our govt are on your side.

November 22 2011 at 7:33 AM Report abuse +1 rate up rate down Reply
rgrsjolly

I was very worried about retiring when I did 2 1/2 years ago, but it's worked out fine. Just figure out how much money you'll have each month when you retire and start living on that amount ahead of time so your budget is adjusted when you do retire.

November 22 2011 at 6:34 AM Report abuse +1 rate up rate down Reply
bootxpp

Don't give up hope just yet, America can turn around over night, once we get a candate in their who represents us and American businesses. Once he unshackles are businesses and the economy revives America will finally begin to revive!!!

As for Obama he has no plan to do anything except get relected.

November 21 2011 at 11:05 PM Report abuse rate up rate down Reply
bobjimflys

We live in a time when nothing is sacred, even great retirements may not be great. We need to adapt. To survive the onslaught of stuff like obommiecare, which is killing the job market. EPA which is killing the manufacturing of the USA. Start by voting out the Obommie regiime would be the best first step at this point.

November 21 2011 at 11:02 PM Report abuse rate up rate down Reply
dvdfrnzwbr

Keep the RedNeck Messiah Mormon Clown out of the White House.

November 21 2011 at 10:57 PM Report abuse rate up rate down Reply
ectullis

We should be more worried about Obsama getting "elected" for another term.

November 21 2011 at 10:41 PM Report abuse +1 rate up rate down Reply