December 14, 2011
--- “Comprehensive” is a key word, according to a new Wells Fargo poll of affluent Americans regarding retirement; they might say they have a plan, but what does that really include? ---
A survey of affluent Americans from Wells Fargo & Company shows that many of them are feeling some of the same deep insecurity felt by middle-income Americans about their ability to retire in comfort.
"We find the rich versus poor narrative in the U.S. is more complex than we might expect, with fears and concerns about retirement felt along the income spectrum," said Karen Wimbish, director of Retail Retirement at Wells Fargo, at a media briefing in New York.
In the survey, “affluent” was defined by having more than $100,000 in investable assets. This was further divided into “mass affluent” – having between $100,000 and $250,000 – and “affluent” – having more than $250,000. The ages ranged from 25 to 75, with most of the 801 respondents being older than 40.
Wimbish said she was surprised by several of the findings. For one thing, nearly one in five (19%) of the mass-affluent respondents said they will need to work until "at least age 80," a sentiment reported by 25% of middle-class Americans surveyed at the same time. Among all the affluent surveyed, 12% say they will work until age 80.
“I don’t think companies are planning on keeping people around past the ages of 65 or 75,” she said. The effects this will have on younger employees hoping to move up in their company may be cause for concern.
Also surprising was that 21% of respondents between the ages of 60 and 75 – those in the “red zone” of retirement – don’t know when they’ll be able to retire. “You’d think they’d have more clarity at that point, but far too many are unsure,” noted Wimbish.