Will We Ever Be Able to Retire?

Remember when retirement was a defined event in nearly every American’s life? It meant an end to the work life, and a greater opportunity for leisure, hobbies and family visits. Those were the days.

These days, retirement is fast becoming a luxury fully enjoyed by the few.

In fact, a recent survey from Bankrate.com found that 7 in 10 Americans plan on working during retirement. Only 25% say they have no plans to work during retirement.

Of course, some people want to work after they’ve retired from their primary career. But far too many Americans anticipate that they will have to work in retirement, just to make ends meet.

Rising Anxiety

Bankrate found that, of those who plan to work as long as possible during retirement, 38% are planning to work because they like to work and 35% said they plan to work because they need the money. 27% said both.

Early retirement is no longer the goal it once was: just 13% of non-retired Americans hope to retire in their 50s, down from 27% in 2007.

Among current retirees (47%) are either very worried or somewhat worried about outliving their retirement savings. This is up from 37% in 2009, the last time this question was asked.

Save Early, and Often

The only real guarantee of retirement security comes from saving, and saving more. People have to start saving earlier, and they have to be realistic about how much they need to save each year.

Experts say that the minimum amount one needs to save toward retirement is 5% of income. That’s in addition to savings for emergencies.

Your credit union is the best place to “base” your saving program. Your CU will help you to put a plan together, and it will help you to stick with this plan through thick and thin.

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