This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Wealthy Americans Anxious About Retirement

BOSTON ( TheStreet) -- The wealthy are just as anxious about their finances as the rest of America is.

The government needs to pass more retirement-focused reforms, especially when it comes to improving Social Security, Medicare and ensuring health care for retirees, according to a survey of affluent Americans by Bank of America's (BAC - Get Report) Merrill Lynch unit.

The Curse of Forbes Strikes Again (Forbes)

Forty-nine percent of affluent Americans surveyed expressed concerns about the economy's effect on their ability to meet financial goals, down from 58% in October 2009. Still, retirement and rising health-care costs top the list of lingering concerns. People are worried about supporting both their parents and children as they approach retirement age.

Among those who identified health care as a top concern (62%), more than half feel unsure of how rising costs should factor into retirement planning. Sixty-one percent are concerned about assets lasting through their lifetime, up from 53%.

"The takeaway here is that while Washington in the past quarter has been talking 'health care, health care, health care,' these affluent Americans have heard that concern, but have also been thinking 'retirement, retirement, retirement," says Sallie Krawcheck, president of Bank of America Global Wealth and Investment Management.

Affluent baby boomers ages 51 to 64 are most concerned about whether their assets will last throughout their lifetime (73%) and question whether they will be able to live the lifestyle they had hoped for in retirement (61%).

About 31% said they're supporting their children and parents. Often referred to as the Sandwich Generation, many of the respondents said they have significantly cut back on luxuries and are saving less for retirement as a result. Nineteen percent said they have invited their adult-age children or parents to live with them to reduce monthly expenses.

Those 35 to 50 worry about funding their children's education and "knowing how best to manage a proper cash flow and liquidity strategy" (31%).

During the past year, the Obama administration has outlined a number of initiatives promoted as improving retirement security. Nevertheless, 52% of respondents said more can be done to assist individuals with their savings.
1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
BAC $14.13 -1.60%
AAPL $94.19 -1.04%
FB $118.06 0.54%
GOOG $695.70 0.48%
TSLA $222.56 -4.20%


Chart of I:DJI
DOW 17,651.26 -99.65 -0.56%
S&P 500 2,051.12 -12.25 -0.59%
NASDAQ 4,725.6390 -37.5850 -0.79%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs