Two-thirds of American workers (67 percent) are confident they will have enough money to live comfortably throughout their retirement years, according to the 2019 EBRI/Greenwald Retirement Confidence Survey. The percentage of workers who feel good about what lies ahead hasn't been this high since 2004—before the Great Recession.
But in reality, many workers may not be on track for a comfortable retirement. Nearly half (49 percent) have saved less than $50,000. Only 42 percent have saved $100,000 or more. These figures are low, in part, because many workers do not work for an employer who provides a workplace retirement savings plan. But even among workers with a workplace plan, just 51 percent have saved $100,000 or more. Despite meager savings, 82 percent of workers expect a workplace retirement savings plan to be a source of income in retirement, and 51 percent expect it to be a major source.
Savings of workers and spouses (excluding value of home and defined-benefit plans)
40% have saved less than $25,000
9% have saved $25,000 to $49,999
9% have saved $50,000 to $99,999
19% have saved $100,000 to $249,999
23% have saved $250,000 or more
Maybe workers need help with their retirement planning? Nope. Fully 65 percent are confident in their ability to choose the right retirement products or investments. When asked what backs up this confidence—what sources of information they use for retirement planning—the largest share of workers (29 percent) say they don't use any of the listed items—not their employer, not a financial advisor, no online calculators, no Google searches, no websites, no tips from family or friends. The 29 percent who say they use none of these things exceeds the 23 percent who say they use a professional financial advisor.
Source: Employee Benefit Research Institute and Greenwald and Associates, 2019 Retirement Confidence Survey
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