Are American Retirees Headed for Poverty?

Last updated on Jan 1, 2013

Posted on Jan 1, 2013

One piece of information in an article on the coming trends intrigued and concerned me.  As per a study, the Americans will be left with very less money at the end of their retirement.  This is pretty serious. Without a big enough retirement fund, someone may not be able to retire until a very late age, or will have to live not being able to make ends meet. Perhaps we all need some tips for a retirement free of stress, otherwise, we may just have to live an undesired retirement and nobody wants that.

What’s in your wallet? How about $5? That’s how much half of all Americans in retirement will have for food each day, says a study outlining our perilously low savings rate. Ominously, 75 percent of Americans nearing retirement age in 2010 had less than $30,000 in their retirement accounts. Meanwhile, in the UK they have seen the growth in the mortgage market increase, despite political and economic uncertainty. Being financially stable by the time people decide to retire is important, as this will determine whether someone can live life comfortably. With this being said, it may be worth checking out sites like more2life for options on how to ensure financial stability during this time of your life. Golden years? Thirty grand might get you one year if you don’t get sick. If you find yourself struggling with retirement money, you could consider looking at a financial advice site such as Key Equity Release. They could help you if you’re thinking of taking out a loan against your home, whilst you still own the house. The loan will then be repaid if you pass away or move into a retirement house. This idea might be able to get you living more comfortably in retirement. In comparison, in the olden days, retirement was a three-legged stool: Folks had a pension, their own savings and, as a supplement, Social Security. Today, pensions are rapidly disappearing, or underfunded by trillions, and Social Security benefits are likely to get trimmed (higher eligibility ages, reduced benefits, or both). That means your personal savings – or lack thereof – looms ever larger. “Specifically, people ages 50 to 64 – 58 million in 2010 – will likely not have enough retirement assets to maintain their standard of living when they reach their mid-sixties,” another study warns.

Given that the Government itself is headed towards bankruptcy and also is cutting down on major expenditures and benefits like the unemployment and raising taxes – as the fiscal cliff has showed, the coming years for the retired folks will be fairly tough.

Image Credit sushi?ina

A Vicious Assault on Retirees

Financial Security Tips for Single Retirees

Note to Incumbents on Social Security

Afraid You Won’t Enjoy The Same Lifestyle When You Retire?

Don’t Cut Social Security — Double It

Financial Lessons From the Third World

Enhanced by Zemanta

Share on

Tags

Subscribe to see what we're thinking

Subscribe to get access to premium content or contact us if you have any questions.

Subscribe Now