They could have said nine in 10 workers are saving for retirement, but they chose the glass-is-half-empty approach.
One in 10 American workers isn’t saving for retirement, according to a survey that accompanied Bankrate’s Financial Security Index for August. And their numbers are increasing, even though the economy has improved.
The survey asked how much people were contributing this year compared with last year. Among those who took the survey, 10% said they “did not contribute this year or last year.” Bankrate noted that it’s the highest percentage since it started asking the question in 2011.
However, it did note a few positive developments among American workers, including:
- 19% are saving more in their retirement savings accounts when compared with last year.
- 14% are saving less than they were a year ago. That’s an improvement from 2011, when 29% reported saving less.
- More than half are saving the same amount
“With millions of Americans behind in their retirement savings, it is important not only to save but to save more each year,” said Greg McBride, CFA, Bankrate’s chief financial analyst. “Even for those saving the maximum, 401(k) contribution limits increased for 2015, affording the opportunity to put more away for retirement.”
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With more than 20 years serving financial markets, John Sullivan is the former editor-in-chief of Investment Advisor magazine and retirement editor of ThinkAdvisor.com. Sullivan is also the former editor of Boomer Market Advisor and Bank Advisor magazines, and has a background in the insurance and investment industries in addition to his journalism roots.
