Survey: Retirement Confidence Remains Steady
Number of workers currently saving keeps increasing
American workers’ confidence in having enough money to live comfortably throughout retirement continues to remain steady, according to the 2016 Retirement Confidence Survey. Ticking down just one percentage point from last year, 21 percent of workers say they are very confident, up significantly from 2013’s record low of 13 percent.
The 2016 Retirement Confidence Survey is released by the nonpartisan Employee Benefit Research Institute and co-sponsored by Principal Financial Group®.
While confidence remains steady, the number of workers currently saving for retirement is actually on the rise. Sixty-three percent of workers report they’re saving, which is the highest level since it hit 65 percent in 2009.
“Events like the volatility in the market that greeted us in January can be distracting, so it’s great to see workers remaining confident and continuing to save with the long-term in mind,” said Luke Vandermillen, vice president of retirement and income solutions at Principal®. “It’s important to stay focused in order to make progress toward your savings goals, especially in a noisy environment.”
Unfortunately, more workers see debt as a major problem, up to 15 percent this year from a low of 13 percent last year. But it’s quite a bit lower than the high of 22 percent set in 2011.
“Getting a handle on debt is one of the most important things you can do to improve your financial situation. Start by taking a close look at how you use debt. Making a few simple changes to reduce your payments can free up money for retirement savings,” Vandermillen said.
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