While most Americans plan to retire by age 65, many are not actively contributing to a retirement plan and are unsure how much they need to save, according to a new survey.
Published by Capital One Share Builder Inc., the survey (“Roadblocks to Retirement Savings: What's Keeping Americans from Saving?”) reveals that 54percent of Americans plan to retire by age 65, but 36 percent are not actively contributing to a retirement plan. And more than a quarter (26 percent) are unsure how much they need to save.
The survey of American pre-retirees finds that while confidence in the ability to save for retirement has improved with 33 percent claiming to be more confident than they were a year ago), nearly one in four (23 percent) are concerned they may never save enough to retire.
Among the report’s additional findings:
● More than half (54 percent) of Americans plan to retire by age 65, while 23 percent say they don't plan to ever fully retire.
● One in four (25 percent) Americans plan to work part-time during their retirement, and that percentage increases closer to retirement age, with 40 percent of Americans age 55-64 saying they'll work part-time.
● A third (33 percent) of Americans plan to maintain their current lifestyle, while 17 percent plan to make sacrifices and 11percent plan to improve their lifestyle; and
● 38 percent say they are unsure of what lifestyle they plan to lead.
● Paying for college tuition (20 percent), job loss (10 percent) and daily household bills (14 percent) are the top roadblocks for retirement savings, according to respondents.
● Only just over one third (37 percent) of Americans say nothing has impeded their ability to save for retirement.