Financial Anxiety Affects (Almost) EveryoneAs workers are approaching retirement age, more and more are affected by anxiety and the question: can I afford to retire and how will I live when I do retire? Will my money outlast me? More than half of Americans believe our country faces a retirement crisis and according to a study from Greenwald & Associates for the National Institute on Retirement Security (NIRS), political lines begin to blur when workers start talking about their Golden Years and Washington’s apparent level of interest in how retirees will afford long-term care or even groceries. Just weeks after the U.S. House of Representatives, controlled by Republicans, favored eliminating rules permitting states to create portable retirement savings accounts, the survey found that three-fourths of all Americans actually support the option Washington is moving to kill. More Than Mere AnxietyThere is a real fear from U.S. workers that they will spend their golden years in poverty, and 85 percent of respondents in the survey say Washington has no idea how hard it is to plan for retirement. “If current trends continue, the U.S. soon will face rates of poverty among senior citizens not seen since the Great Depression. Of the 18 million workers between the ages of 55 and 64 in 2012, more than four million will be poor or near poor at age 65. This includes 2.6 million Americans considered middle-class prior to retirement,” the survey predicts. The study serves as a piece of a larger project looking at views from people in the U.S. about retirement security. The study randomly polled 800 people, age 25 or older, since the 2016 election. Despite the heated, and at times very ugly presidential race, respondents in the study were united in their fear of “economic security in retirement and in their dissatisfaction with national policy makers’ inaction to address the nation’s retirement crisis.” The political divide seemingly faded when Americans were asked about state-sponsored savings plans. Democrats favored the option for those without work-sponsored plans at a rate of 83 percent, while 72 percent of Republicans supported the idea. Nearly 76 percent polled said they worry that economic conditions make their chances of a secure retirement look bleak and a large majority (71%) said pensions were more favorable than 401(k)s to support a comfortable retirement. After covering a number of topics that cause anxiety for those headed into retirement as well as those with decades to go, the study revealed an underlying theme that Americans are anxious about having financial security in retirement and don’t think national policy makers are dealing in a realistic way with their concerns. The depleting fund for Social Security and the possible changes some politicians have proposed for those benefits are also on the minds of worried retirees. Of those polled, 76 percent said they’re against any government cuts that would lower Social Security benefits. That’s an increase of 9 percent since 2013. Only 24 percent of Americans said government should cut spending in all areas, including Social Security benefits. In fact, when it came to eliminating benefits for retirees, only 13 percent of Democrats and 36 percent of Republicans approved. There were other notable takeaways from the study. A whopping 55 percent of those polled said they “strongly agree” that America faces a retirement crises and 80 percent said the average worker can’t save enough for retirement on their own. Moreover, long-term care costs are a major concern for those thinking about retirement, fearful of what those costs might do to their finances. The survey makes it very clear that all eyes are on Washington as 88 percent agree that creating a secure retirement for Americans should be a top legislative priority. Retirement PlanningIf you are just start outing in your career, or nearing time you are ready to make some changes, Foguth Financial has the experienced team you need to help you in your planning. We can help you feel less anxious about your retirement future. Call us today to schedule an appointment. The post Retirement Anxiety: The American Epidemic appeared first on Foguth Financial Group. from http://www.foguthfinancial.com/anxiety-epidemic-facing-retirees/
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