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According to Schwab, Most Baby Boomers Haven’t Changed Their Retirement Plans
By JLP | September 1, 2010
My Schwab PR friend sent me this survey (press release):
American investors 50-60 years of age
1. In light of current economic conditions, have you changed your thinking about at what age you will retire?
• 38% – yes, I am thinking I will retire later than planned
• 4% – yes, I am thinking I will retire earlier than planned
• 54% – no, I have not changed my thinking
• 4% – don’t know/refused
This surprises me. I would have thought the market conditions of the last few years would have derailed some retirement plans.
2. If you think you will continue working after you’re eligible for full retirement benefits, which of the following best describes why?
• 28% – for more money
• 25% – to remain active mentally, physically, or socially
• 17% – to receive health insurance benefits
• 15% – because I enjoy working
3. Which of the following do you think is the most important lesson you can teach younger generations about saving and investing?
• 50% – live within your means
• 30% – begin saving at an early age
• 10% – avoid high-interest debt
• 4% – get financial advice from a trustworthy source
Interesting that only 4% responded with “get financial advice from a trustworthy source. I think the first three are much more important. You do those three and you save yourself a lot of heartache.
4. Do you think you’ll need the financial support of others at some point during retirement?
• 74% – NO
• 21% – YES
5. How likely or unlikely do you think it is that you will have debt when you retire?
• 44% – somewhat to extremely likely
• 54% – somewhat to extremely unlikely
Topics: Retirement Planning | 5 Comments »
September 1st, 2010 at 7:42 am
I wonder whether that 74% who said they won’t need financial help from others are willing to forgo their Social Security, since they claim they do not need it.
September 1st, 2010 at 7:46 am
Would like to see more quantitative information along with the qualitative. I bet many boomers who think they will retire at a certain point won’t be able to do so due to lack of resources.
It amazes me how many 50 year olds have never really done any analysis to see if they have enough funds to retire. They just pick an age and plan to retire. It is age based, not resource based.
I also wonder how many people figure they can retire because they are receiving social security. Again, I am amazed how many people think this will be enough. It does help, and you can get by on it. But, you are going to have a very different lifestyle if you think you can live on social security. Plus, there will be changes to social security that affect everyone in the next decade.
September 1st, 2010 at 7:50 am
Good points, Jack and Kirk.
I hope the respondents aren’t taking the head-in-the-sand approach to retirement planning.
September 1st, 2010 at 12:20 pm
I’m guess this is a poll of Schwab account holders. Which explains the much higher than expected responses to the fact that they are on track for retirement.
September 1st, 2010 at 12:52 pm
I don’t think so, Ken. This is from the press release: