The “Retirement Savings Crisis”–And What to do About It
It seems like just about everyday there’s a new account of how far behind the savings curve those approaching retirement are. Some news accounts label this more serious than our country’s health care crisis, while others refer to it as “a retirement crisis for the majority of the population.” Without question, there is growing sentiment that lack of a nest egg for future retirement living looms as a major concern for those aging into their retirement years, despite contrasting opinions that “retirement saving is generally solid and improving in various ways.”
The Motley Fool’s Maurie Backman, in a post today on www.fool.com, analyzes statistics specifically related to “Baby Boomers” entering retirement, noting that “nearly half of all households have no money set aside for the future.” Her article discuses retirement income gaps that are likely to surface for these households, and stresses that time is running short for corrective action. As a potential remedy for those still in the workforce, she presents several options that should be considered priorities to address this impending crisis, including deferred compensation “catch-up” opportunities, working beyond originally-anticipated retirement schedules, and pursuing employment after retirement. Read her post here…
As noted in Ms. Backman’s article, options are available for younger workers to head off future problems. Likewise, the Association of Mature American Citizens (AMAC) recognizes the importance of bolstering long-term financial security through savings, and has incorporated provisions for this in its “Social Security Guarantee Act of 2017” (Act) now being promoted in Washington. This legislative framework includes provisions for an “Early Retirement Account” that would “provide a means for all earners to have more income available at retirement,” and would enlist the support of investment experts to assure the quality of investment options, with a portion of the proceeds mandated to be invested in guaranteed interest accounts or annuities. Learn more about AMAC’s proposed Act here…
This posting is presented for informational purposes only and does not represent legal or financial guidance. Any opinions or interpretations presented are either those of the original author or, in the case of articles authored by the AMAC Foundation, are the opinions of AMAC Foundation staff, originally trained and accredited by the National Social Security Association (NSSA) and certified via the AMAC Foundation. Any links included in the article are valid on the posted date; socialsecurityreport.org cannot guarantee the duration of the links’ validity. NSSA and the AMAC Foundation and its staff are not affiliated with or endorsed by the Social Security Administration or any other governmental entity. To submit a question, visit our website (https://amacfoundation.org/services/) or email us at ssadvisor@amacfoundation.org. Because we are a non-profit organization, there is no charge for these services.