Many older Americans are willing to work during their retirement years — and they may have to be — because they aren’t financially prepared for their old age.
Almost three in 10 people between 55 and 67 years old have less than $10,000 saved for retirement, though 32% of women specifically have less than $10,000 earmarked for their old age, according to a new survey from Sagewell Financial, a financial technology company focused on seniors’ money management. Four in 10 people had less than $50,000 saved for retirement, whereas 47% of women had less than that much compared with 30% of men.
More than seven out of 10 respondents said they plan or are willing to work in retirement, the survey found.
The Sagewell Senior Certainty Index polled more than 1,000 Americans between 55 and 67 years old to gauge their financial well-being and retirement plans. More than half of them said they’re afraid of running out of money, and 82% said they weren’t confident about their access to liquid assets in retirement.
Aside from their own savings, older Americans said they were concerned external factors could affect their retirement plans, including the pandemic, the war in Ukraine, and the health of Social Security. The two trust funds that support Social Security’s retirement and disability benefits are expected to be exhausted by 2035, however if that were to occur, beneficiaries would still receive some portion of the checks they’re owed – around 80% is estimated.
