In a study released Monday by ING Institute for Retirement Research, government employees are finding just as much insecurity and uncertainty about retirement as those in private industry.
According to the study, conducted in conjunction with research firm Synovate, ING found that government employees were unsure or uncomfortable (61%) about being able to save enough for retirement, and 43% have become less confident about their nest eggs since the market downturn began. However, most of them (72%) have not changed their investment rate.
The study also found that government employees are pretty conservative; 74% defined themselves as risk-averse in life, and 50%, more concerned with holding onto what they have rather than growing it, said they were financially conservative.
More than a third (35%) didn’t know how their pension benefits would be determined; 20% of those who participated in a voluntary retirement plan at work didn’t know what their balance was, and 50% had less than $50,000 put away in those voluntary plans.
Those with pension plans (71%) believed their pensions would make up 54% of their retirement income; 49% said they were concerned that the amount they received would change during retirement.