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What’s The Price Of Retirement Confidence? Americans Who Have $250,000 Or More In Investable Assets, A Wells Fargo Study Finds

When it comes to their current financial savings for retirement and expectations about finances in retirement, the affluent are more prepared than those with lower asset levels. In fact, the median amount already saved for retirement by the affluent is $500,000, which far exceeds the median ($60,000) amount that people with less than $250,000 in assets say they have saved for retirement.

A quarter (27%) of the affluent cite healthcare costs as their primary day-to-day financial concern as compared with 16% of those with less than $250,000, who instead say “paying the bills” is their primary concern (43%). The affluent estimate out-of-pocket healthcare expenses in retirement at $60,000 and those with less than $250,000 estimate $49,000.

“Although the affluent are more financially prepared for their retirement, both groups have grossly underestimated the healthcare expenses they will need in retirement,” said Wimbish. “They need to be more aware and plan for the real costs of healthcare in retirement.”


Investable assets <$250,000


Affluent(investable assets $250,000+)

Amount saved for retirement (median)   $60,000   $500,000
Amount needed for retirement


  $400,000   $750,000
Estimated out-of-pocket healthcare expenses in retirement (median)   $49,000   $60,000
Number of years in retirement


  20 years   25 years
Withdrawal rate from savings


  10%   7%
% of current household income needed in retirement (median)   65%   60%

Affluent Have More Confidence in the Stock Market and Confidence from a Plan

Half (52%) of affluent Americans feel confident that the stock market is a good place to invest for retirement versus 35% of those with less than $250,000 in assets. Along these lines, if given $5,000 to invest for retirement, a plurality of affluent Americans (48%) would invest the money in stocks or mutual funds, compared to about a third (31%) of those with less than $250,000 in assets. Those with less than $250,000 in assets are more likely to put the money in a savings account or CD than would the affluent (32% compared to 18%) and are more likely to invest that money in gold/precious metals than the affluent (22% compared to 15%).

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