New 65 is 80?

The real question is whether 80 is the new 65 by choice or by circumstance. Wells Fargo Bank has surveyed a group of Americans 20 to 70 years who earned between $ 25,000 and $ 100,000 asking questions about retirement savings and Social Security and came with some interesting information.

Three quarters of those surveyed said they expect to work into their retirement years. A quarter said they will work until at least 80 years to live comfortably in retirement, and you can be assured that this is not by choice. Given the choice, they would withdraw as soon as possible.

Nearly half (47%) of respondents said they plan to continue in the same job or a similar job responsibility. This, of course, assumes that they have the ability to continue in their same or similar jobs, the economy justifies their continued employment and their employer is willing to extend employment. And what happens if none of these options are available?

The survey found that three-quarters of Americans said it is more important to have a specific amount saved before retirement, regardless of age, while only 20% said that it is more important to retire at a given age, regardless of savings.

In terms of saving for retirement, 53% of respondents said they need to significantly cut spending now to save for retirement. Notice the word considerably. How likely are you to initiate a major change in lifestyle to achieve a target of 20 years or more in the future?

According to Wells Fargo, on average, Americans saved just 7% of their desired retirement nest egg, with a median of $ 25,000 recorded compared to a median retirement goal of $ 350,000. Americans have been saving less than what is needed for retirement and the majority do not trust the stock market as a place to invest for retirement.

On the issue of social security, there was an age gap. Those in their 60s expect Social Security to provide 46% of their retirement funding. But over 25% of people in their 20s and 30s expect no income from Social Security during their retirement.

This sounds like a very good reason to start planning now by going to an agent or adviser help navigate the options available to achieve their goals and reduce their dependence on government programs.