According to a survey from Edward Jones, 32% of Americans identify financial issues, such as the need to focus on immediate expenses, as the rationale for their lack of savings.
Seventy-two percent of respondents between ages 18 and 34 believe they are not putting enough money towards retirement. The percentages dropped as the age of the respondents increased, with less than half of respondents (47%) 65 and older indicating they are not saving enough.
The survey also found that household and family size has a clear impact on retirement savings. While the survey average shows 32% of Americans are grappling with too many current expenses to save for retirement, the percentage increases dramatically for respondents with children between ages 13 and 17, to 49%.
“While everyday expenses like education and housing are clearly necessary expenses for many Americans, this survey found that there is still almost one-third of respondents who point to fairly vague reasons for not saving enough, including those with concerns that saving for retirement is unattainable or that it’s too early to start,” said Scott Thoma, investment policy committee member at Edward Jones.
Other key findings from the survey include:
• Ten percent of respondents believe it is too early to start saving for retirement. Those in the 18- to 34-year-old range were the most likely to say so, with 23% responding accordingly.
• Singles are the group most likely to say retirement is not attainable (23%).
• Among the most affluent respondents (those making $100,000 a year or more), less than half (49%) believe they are saving enough for retirement.
• Respondents in the Midwest were the most optimistic about their retirement savings levels, with more than one-third (37%) saying they believe they are saving enough for retirement.
The survey was conducted by Opinion Research Corporation is based on 565 telephone interviews of U.S. adults conducted between April 5 to 7, 2012.
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