Americans are just not feeling financially prepared for retirement, and they also are not feeling reassured that they have the best savings strategies at their fingertips, according to new research released Wednesday by Certified Financial Planner Board of Standards Inc. and Morning Consult.
The survey found that 40 percent of Americans feel financially prepared for retirement and 80 percent said they need more reassurance on ways to save for their retirement years.
In addition, a lack of knowledge and clarity on what’s available were evident among respondents. Thirty percent are unaware if their employers offer a retirement savings plan, and another 40 percent said saving for retirement is too complicated.
The CFP Board/Morning Consult Survey was conducted as part of a new effort by CFP Board to identify challenges to the current retirement system and develop recommendations for policymakers to improve it, the report said. The poll, which was conducted online April 10 – 12, included 2,000 adults.
“Americans know how important it is to save for retirement, but the truth is more than a third of those surveyed are overwhelmed by the process and, critically, many do not understand what products and resources are available to them,” said Kevin Keller, chief executive officer of CFP Board.
Interestingly enough, 60 percent of Americans who report receiving retirement advice from a financial professional say they have “definitely” benefitted from this service. And more than half (54 percent) believe they would benefit from receiving such a service, if they decided to use one in the future.
Nearly half of Americans believe saving for retirement should begin in their 20s. However, 40 percent delay saving for retirement until their 30s, while another 15 percent wait until their 40s. And approximately 8 percent wait to start saving for retirement until after age 50.