Many Americans are uninformed about their retirement savings options, an E*TRADE survey found. Thirty-two percent who have not rolled over a 401(k) from a former employer cited a confusing, intimidating and/or time consuming process as the reason for not doing so.
More than half (56%) think managing an individual retirement account (IRA) requires more financial prowess than they currently have, and 41% believe opening an IRA requires more time than they currently have.
Of the 50% of respondents with a 401(k) account who say it is a critical part of their retirement plan savings, 32% are not confident it will ever grow enough to meet their retirement needs. In addition, 28% do not regularly review their statements or have a hard time tracking account performance, and 21% are unsure what fees are being charged.
The survey was conducted online by Harris Interactive on behalf of E*TRADE among 2,399 U.S. adults ages 18 and older between August 20 and August 22.