Regrets, they’ve had a few.
Retirees shared the following insights about what they would’ve (should’ve) done differently if they could do it all over again in preparing for retirement.
Fully 73 percent agree they wish they would have saved more and on a consistent basis; 64 percent wish they had been more knowledgeable about retirement saving and investing; and, 50 percent feel they waited too long to concern themselves with saving and investing for retirement.
Additionally, according to new research from Transamerica Center for Retirement Studies, half also indicate debt interfered with their ability to save as much as they needed for a comfortable retirement.
On the other hand, two-thirds say they did as much as they could to prepare for retirement (67 percent).
“Retirees’ circumstances regarding when and how they retired exemplify common risks: employment issues, ill-health, and financial need,” Catherine Collinson, CEO and president of Transamerica Institute and TCRS, said in a statement. “They offer a cautionary tale for those currently in the workforce on the importance of maintaining good health, financial planning, and competitive job skills.”
TCRS found that retirees are still relatively young at age 71 (median), healthy, and have a positive outlook on life.
They are spending more time with family and friends (61 percent), pursuing hobbies (44 percent), traveling (39 percent), and engaging in a variety of other activities.
Most are taking steps to protect their health (although they can do even more).
Nevertheless, they are financially vulnerable:
- Sixty-six percent of retirees indicate that Social Security will be their primary source of income over the course of their retirement. Those who are currently receiving benefits started at age 62 (median), which is the earliest age that most workers can claim benefits, albeit at a permanently reduced amount.
- Retirees have an annual household income of $32,000 (estimated median). Twenty-five percent have a household income of less than $25,000, while only 15 percent have an income of $100,000 or more.
- Many are still paying off household debt.
- Given the time they have remaining in retirement, they have saved relatively little.
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.
