Here’s How Much Money Americans Think They’ll Need to Retire

Some people in this age group will be able to attain the retirement they want; others are hoping for luck to make their dream retirement come true, according to the survey. Thirty-five percent hope to win the lottery, 25% are willing to sacrifice what they want today to save for later years and 25% plan to stay on their current path.

Only 3% of retirees in the survey purported to be living their dream. Thirty-seven percent of retirees said they are comfortable, another 37% said their lives are so-so, 18% acknowledged they are struggling and 5% called their lives a nightmare.

Forty-four percent of retirees said their expenses are higher than they had expected, while just 8% said expenses are lower.

Retirement Concerns

The survey found that Americans have these concerns about retirement:

• Inflation lessening asset values: 65%.
• Higher-than-expected health care costs: 64%.
• Major market downturn significantly reducing assets: 53%.
• Health issue draining savings: 52%.
• Taxes reducing retirement savings: 49%.
• Unable to afford desired lifestyle: 49%.

Amid these concerns, 69% of working respondents said they plan to work in retirement, 56% to cover basic living expenses, 51% to stay busy and 49% to keep active and in good health.

“These are seriously challenging times, and they seem to be taking a toll on the American worker and their belief about achieving a comfortable retirement,” Joel Schiffman, head of intermediary distribution for North America at Schroders, said in a statement. 

“This year, inflation is the number one concern Americans have about their retirement, and next year, it may be something else. Challenges will come, but they can’t derail our focus on saving and preparing for our retirement.”