Almost Half of Workers Not Saving For Retirement

July 6, 2005 (PLANSPONSOR.com) - Thirty nine percent of Americans report not making any monthly contributions toward retirement savings, while another 9% are "unsure" they are making any, according to the findings of the Experian-Gallup Personal Credit Index.
By PS

A news release from Experian said the Personal Credit Index dropped from 94 for June to 79 for July, and attributes this drop, in part, to Americans’ views on their future financial situation. Forty percent of Americans reported being somewhat or very worried that they won’t be financially able to retire. Those most worried (56%) are individuals with incomes below $40,000 and 46% of females were somewhat or very worried, compared to 34% of men.

Respondents showed little confidence in the Social Security system, with one fourth of respondents saying they expect to receive no benefits from Social Security. Only 18% expect to receive all of their social security benefits, another 18% expect most, and 38% expect some. Social Security came in fourth on the list of sources of income after retirement, following 401(k) plans (44%), IRA’s and personal savings and investments (39%), and company pensions (30%).

The Experian-Gallup Personal Credit Index is a monthly national survey of a sample of more than 1,000 respondents, which measures consumers’ perceptions of their current and future credit and financial situations. More information is here .

-Rebecca Moore

«