Most workers who aren’t saving for retirement through their employers aren’t saving at all, the study found
New data suggests the average American worker has under $1,000 saved for retirement.
A report from the National Institute on Retirement Security found that the median savings for all employed adults between the ages of 21 and 64 were approximately $955. The study includes workers with 401(k) and other retirement savings plans, as well as the approximately 56 million workers who do not have access to employer-sponsored retirement plans.
Workers with retirement savings plans have a median balance of approximately $40,000 saved, according to the report. That figure is nowhere near the $1.5 million that Americans say they need to feel comfortable fully retiring.
Well I think employed 21-year olds are a lot less likely to have any savings at all (mostly student loans) and also more likely to be working in a job with no retirement plan (working at Subway or Starbucks). Combining their situation to a 64-year old in an office job or a skilled trade is still pretty misleading.
Yes, it’s a huge problem that young people have all this student debt and lack of savings and high living expenses. But we’re not going to be able to analyze that by lumping all their numbers together with older people. If we want to make comparisons we need separate numbers.
yeah I mean even if you take 0 for them that would bring down an equivalent number of folks with 2k and we know the opposite situation occurs with c suite folks and such having real high numbers. Even then if it is 20somethings it still highlights an issue we have now that was not the case 50 years ago. 20somethings can’t save at all. 30somethings if they are lucky can start to save but kinda want a house someday so wants to save some in a regular way (which is also smart. its very important to have a short term savings no matter the tax advantage of retirement savings). It they are lucky maybe they can swing the mortgage in their 40’s but that puts a damper on retirement savings as well given mortage payments. So like 50’s you can finally really start socking it away for your impending retirement. again if you are lucky.