Re-imagining Retirement Amid New Uncertainty
Robert Powell, CFP®
New research from the Aspen Institute:
The CARES Act has paved the way for people to access their retirement savings for immediate needs without penalty – and surveys indicate that the majority of the 3 in 10 Americans who took advantage of the CARES Act spent that money on groceries. When coupled with the fact that 40 million Americans do not have access to retirement savings plans at work, this tell us that workers in the United States do not–and will not–have the retirement savings they need to be financially secure.
With these financial insecurity realities at the forefront of our work and the added insight from over 70 retirement experts from our fourth annual Aspen Leadership Forum on Retirement Savings, four essential design principles of an inclusive, secure retirement savings system emerged.
Provide universal access to automatic enrollment in workplace retirement savings.
Help workers build liquid emergency savings alongside their retirement savings.
Make retirement savings portable.
Innovate to create lifetime income streams for everyone.
Policy and business leaders alike can use this report to better understand the top retirement challenges American households face and actionable opportunities to alleviate these burdens.