Only 53% of employees think they are building enough retirement savings, a recent survey finds.
The problem seems worse among those earning less than $50,000, of whom only 38% expressed confidence in a secure retirement, according to the survey, conducted last year among more than 1,300 working adults by Transamerica Inc., Los Angeles.
Some survey responses suggested lack of knowledge about financial matters was at the root of workers’ widespread lack of assurance about their future.
For instance, 71% said they didn’t know as much as they should about retirement investing. And when asked how they estimated how much they’d need to save to retire comfortably, 35% acknowledged they guessed, while just 6% said they have used a professional advisor.
Success in attaining retirement security depends not only on how much people save, but also how well they manage their investments, commented Catherine Collinson, retirement expert for the Transamerica Center for Retirement Studies.
“The survey results illustrate the need for employers to provide investment advice in order for employees to effectively manage their retirement savings,” Collinson says.