Eighty-one percent of working Americans are worried about their retirement, according to the latest COUNTRY Financial Security Index update.
Specifically, Americans are concerned that they could run out of money, not have enough saved to pay for the things they want to do, and not have the resources to pay for medical and long-term care expenses. As to what is holding them back, 40% say not saving enough, 28% say they are worried about the loss of an income earner, and 18% fear another economic recession.
Among those who are retired, 67% say that they are satisfied with their retirement. However, that leaves 33% of retirees who are not contented. “We found that money issues are driving dissatisfaction in retirement among the third of Americans who report being unhappy,” explains Joe Buhrmann, manager of financial security at COUNTRY Financial. “Many retirees underestimate the cost of their basic living expenses in retirement and, as a consequence, spend more of their nest egg just to get by. We also see that some current retirees do not have enough to afford the things they want to do in retirement.”
Workers can sidestep some of these problems by developing a well-rounded retirement plan, Buhrmann says. “Of those who aren’t living their dream retirement, 57% say it’s because they don’t have enough money for the things they would like to do,” he says. “For those approaching retirement, it’s important to understand your living expenses first to make sure you are also saving enough to afford additional costs, such as travel.”
The COUNTRY Financial Security Index is based on a survey of 1,000 people conducted by GfK.