30sThirty-somethings are usually well into their careers and accumulating the beginning of a nest egg. Some 67% have begun saving for retirement and 30% participate in 401(k). Trouble is, most need to educate themselves better about retirement investing. About two thirds of those surveyed say they need to learn more about the basics of investing. .
40sThis is the so-called sandwich generation, caring for kids and often parents. They're saving for retirement, but only 10% are "very" confident that they will be able to fully retire with a comfortable lifestyle. Their debt levels are elevated and their household retirement savings is $63,000 (estimated median).
50sRetirement is no longer an abstract concept. It's real and getting closer by the year. Some 37% say retirement saving is a big priority and 31% pitch in more than 10% of income to the plan. Total household retirement savings on average are $117,000. Nearly 60% plan to work past age 65 or do not plan to retire. And 42% expect their standard of living to decrease when they retire.
60sMost, some 82%, aren't interested in a labor-free retirement and plan to work past 65 or never retire at all. Here's something to consider: About 47% percent expect to rely on Social Security as their primary form of income in retirement.
TakeawayThe image of the carefree and reckless younger Americans is a bit off. Most save, but they need to get smarter about investing. Older savers are more realistic about their savings and often plan to work longer to make sure those resources last through retirement. Like most things in life: Retirement planning is relative depending on one's age. Photo credit: Fevi in Pictures via Flickr Creative Commons
Like what you read?Subscribe to our once-weekly email newsletter and get the best posts delivered to you in one convenient place, to browse at your leisure:
The post How retirement expectations change with time appeared first on Smarter Investing Covestor Ltd. is a registered investment advisor. Covestor licenses investment strategies from its Model Managers to establish investment models. The commentary here is provided as general and impersonal information and should not be construed as recommendations or advice. Information from Model Managers and third-party sources deemed to be reliable but not guaranteed. Past performance is no guarantee of future results. Transaction histories for Covestor models available upon request. Additional important disclosures available at http://site.covestor.com/help/disclosures. For information about Covestor and its services, go to http://covestor.com or contact Covestor Client Services at (866) 825-3005, x703.