Not all people who earn save. This is a sad reality for a lot of people in the United States.
According to a recent study, one-third or about 36 percent of the population are not ready for retirement, as no sufficient savings have been made. Of people 65 years old and older, about 14 percent of them have no retirement savings. For those 50 to 64, 26 percent; 30 to 49 only 33 percent; and for those ages 18 to 29, 69 percent.
About 1,000 adults were surveyed by personal finance website Bankrate.com. The Princeton Survey Research Associates International conducted the survey for Bankrate earlier this August in Spanish and English through phone interviews. The data were analyzed and the numbers came up.
"These numbers are very troubling because the burden for retirement savings is increasingly on us as individuals with each passing day," Bankrate.com's chief financial analyst Greg McBride said.
"Regardless of your age, there is no better time than the present to start saving for your retirement. The key to a successful retirement is to save early and aggressively," he stated.
"Month in and month out, consumers sound a dour tone about how they feel about their overall level of savings. Many people know they are under saved whether it's for emergencies, retirement or both," McBride also noted.
The Employee Benefit Research Institute and Greenwald and Associates maintained similar findings. From a recent survey of a thousand workers, also 36 percent of them were discovered to have only less than $1,000 in investments and savings. Sixty-percent of workers who earn have less than $25,000.
The same Bankrate survey found out that some Americans ages 30 to 49 are saving for retirement. About 32 percent of this age group started to save in their 20s. Meanwhile, only 16 percent began saving money for investment in their 30s.
Jack VanDerhei, research director at the institute, noted that a lot of people know they are not right on track in their savings and department. The top two reasons? Their day-to-day expenses and cost of living are too high.
VanDerhei advised people should join the 401k plan of their companies.
"Contributing anything less than that is leaving free money on the table," VanDerhei said.
