More than one-third (34 percent) of Americans who participate in a retirement plan say the primary goal of their plan is to generate guaranteed monthly income, new research shows.
TIAA-CREF discloses this finding in a nationwide survey of 1,017 adults, age 18 years and older, on their retirement plans. The study was conducted by KRC Research, an independent research firm.
According to the report, an additional 40 percent of Americans want to ensure their savings are safe regardless of what happens in the financial markets. And 15 percent desire a competitive rate of return on their savings.
The research observes, however, that 72 percent of respondents either do not have or are unaware if their retirement plan has a lifetime income option.
The survey reveals a disconnect between the percentage of pre-retirement income that experts believe Americans will need to live comfortably in retirement (70 to 90 percent) and the proportion that survey respondents believe. Two-thirds (66 percent) peg the percentage at between 25 percent and 75 of pre-retirement income.