October 25, 2013
By Halah Touryalai
Forget pushing retirement off a few years. A growing number of Americans believe they’ll be working until death.
An alarming 37% of middle class Americans believe they’ll work until they’re too sick or until they die.
Another 34% believes retirement will come at the ripe age of 80. Just two years ago only 25% of respondents felt the same way.
It’s a grim look at the state of retirement which seems to be getting worse for middle class Americans. [EXPAND Read more]
Wells Fargo (WFC) interviewed 1,000 Americans between age 25 and 75 and with household income ranging between $25,000 and $99,000.
More than half (59%) said their top day-to-day financial concern is paying the monthly bills; that’s up from 52% who said the same last year.
“We do this survey every year and for the past three years, the struggle to pay bills is a growing concern and the prospect of saving for retirement looks dim, particularly for those in their prime saving years,” Laurie Nordquist, head of Wells Fargo Institutional Retirement and Trust, says in the report.
And here’s something for leaders in Washington DC to consider: One third of those surveyed said their primary source of retirement income will come from social security.
That figure gets even bigger for those who make less than $50,000–48% of those earners say social security is going to be their primary retirement income.
One of the reasons for that? Almost half of those surveyed said they don’t have a written retirement plan.
Only 24% said they are confident in the stock market as a place to invest their money. A whopping 45% say the stock market wouldn’t benefit them.
Those between age 25 and 29 are the most apprehensive about stocks with 58% of them saying they’d rather put $5,000 in a savings account or CD than in the stock market.
“There is a striking amount of fear about the stock market among all investors. The middle class just isn’t making the link between being invested and the potential growth of their savings, but on top of this fear is apathy – there is no interest in learning more about investing,” Nordquist says. [/EXPAND]