Here are a few of the stunning statistics released:
- Only 22% of workers think they have enough money for retirement. This is according to a survey done by the Employee Benefits Research Institute. What are the other 78% thinking? Are they even thinking about retirement?
- 45% of Americans have exactly zero saved toward retirement. This is especially true for those in the lower ends of the income spectrum. This information came from congressional testimony. “In two-thirds of working households with earners between ages 55 and 64 years, at least one earner has saved less than one year’s income for retirement.”
- Women face a greater challenge than men because they live longer and make less money. The Department of Labor statistics show that women were more likely to work part-time jobs that don’t qualify for a retirement plan or interrupt their careers to stay home and care for family members, resulting in less retirement plan savings.
- Only one in every six employers offers some sort of health insurance coverage to retirees. More people are relying on Medicare to take them through their golden years. Some may be lucky and have invested in some sort of long-term care insurance to assist in their future care.
- It is estimated that the average 65 year-old couple can expect to pay out over $220,000 in medical costs over the next 20 years thanks to not having any insurance to pick up the tab. This is if you don’t have some sort of catastrophic illness or injury to run the costs up higher.
- The projected annual rate of growth for health care spending is projected to be 5.8%. The standard projection is based on withdrawing 4% per year to live on during retirement.
- Expect to pay 38% of your medical expenses when you file a claim with Medicare. The report goes on to show that you’ll pay 23% for out of pocket drug expenses, 32% for Medicare premiums for parts B and D, and 45% for Medicare co-pays, cost-sharing and deductibles.
- Do you have $200,000? That’s what you could have to pay to cover a year of living in a skilled nursing facility or a high-end assisted living facility. Have you factored that into your retirement budget?
How are you prepared for retirement? Have a conversation with one of the Great Lakes Insurance & Financial Advisors to see what can be done to ensure a better retirement future for you and your family.
Contact Great Lakes Insurance & Financial Services Agency at 888-883-5290 or email Kinzie@GLIBrokers.com.