Even Execs Hard-Hit by Economy

A new survey found 86% of executives said their shrinking retirement savings will mean working longer, with an average delay of 7 ½ years.

A Reuters news report said the survey by TheLadders.com, a service catering to those making more than $100,000 per year, found that many responding executives were being forced by the economy to dip prematurely into retirement savings or their college funds.

Reuters said the survey found:

  • Forty percent of those polled said they were forced to use retirement savings to weather the recession.
  • Fifty-eight percent of respondents stopped contributing to their 401k retirement accounts altogether.
  • Half said the recession would limit their children’s college prospects, and 40% said they stopped investing in their children’s college savings accounts (see “Retirement Takes Priority over Saving for College“).

“Nobody’s been spared,” said Robert Turtledove, spokesman for TheLadders.com, in the news report. “This is investment-savvy, smart-managing, high-earning executives. It’s not a knee jerk reaction. I think it’s saying that wherever you are, this is impacting everybody.”

The survey covered 1,162 executives.