Retirement and why people are worried
Going into retirement can be a relief but also a stressor for many Americans. Issues concerning healthcare, social security, and long term costs have many older adults worried about their future. In an article written by Dan Doonan and Kelly Kenneally for the National Institute on Retirement Security, they detail some statistics depicting these concerns.
When asked if the nation faces a retirement crisis, 79 percent of Americans agree there indeed is a retirement crisis, up from 67 percent in 2020. More than half of Americans (55 percent) are concerned that they cannot achieve financial security in retirement. (Doonan & Kenneally, 2024)
Americans express strong support for pensions... Eighty-three percent of Americans say that all workers should have a pension so they can be independent and self-reliant in retirement.
When it comes to inflation, 73 percent of respondents said recent inflation has them more concerned about retirement.
Americans want policy leaders to give their retirement concerns a higher priority. The vast majority of Americans (87 percent) say leaders in Washington don’t understand how hard it is for workers to save for retirement, up from 76 percent in 2020.
Americans want action now to safeguard Social Security. Eighty-seven percent of Americans say Congress should act now to shore up funding rather than waiting another ten years to find a solution.
80 percent are worried about the rising cost of long-term nursing care. A large share of Americans (66 percent) are worried about rising healthcare costs in retirement, 75 percent are concerned about rising housing costs in retirement, and 66 percent are worried about increasing costs to get help with everyday chores like cleaning and cooking
After reading the article it is clear that Americans are upset with policy makers on the way their finances are being handled, making this a nationwide concern rather than just individual people. With rates of dissatisfaction so high there has been a harder push for the government to take more affirmative action. While all of this is true the article itself does not provide any answers on what should happen next.
It is hard to determine what any one person thinks is enough for retirement compared to another person. Difference in lifestyle, current income, geography, and education all affect how/how much people save. This article provides no information on what we should do next but it does shine a light on valuable statistics to pay attention to.
References
Doonan. D & Kenneally. K, (February 2024). Retirement Insecurity 2024: Americans’ Views of Retirement. National Institute on Retirement Security. https://www.nirsonline.org/reports/retirementinsecurity2024/
Lartestudio. (Apr 06, 2020). Creative Fabrica. https://www.creativefabrica.com/product/saving-money-flat-design-illustration/
