With fake news dominating media coverage, there is some real news occurring that doesn’t get much attention: the retirement crisis. A new study has found that nearly half of older Americans have nothing put away for their winter years, a frightening prospect for millions.
According to the Government Accountability Office (GAO), 48 percent of those 55 and older do not have anything put away in a 401(k)style defined contribution plan or an individual retirement account. Although it is a depressing statistic, it is still an improvement from the 52 percent in 2013.
The GAO found that 29 percent of older Americans did not have access to a pension or any assets in an IRA or 401(k).
What does this mean? Well, most of the income these people will rely on is Social Security. Considering how it is on the brink of insolvency, these retirees may need to locate another source.
The GAO authored a similar report in 2015, which found that the median household of those aged 65 to 74 was about $148,000, or $649 a month. That wouldn’t be enough for groceries.
Fortunately for young people today, these reports will serve as a wakeup call.
“The GAO authored a similar report in 2015, which found that the median household of those aged 65 to 74 was about $148,000, or $649 a month. That wouldn’t be enough for groceries.”
Andrew, What is going on with your math? $148,000 = $12,333 per month. Even if it was $14,800 it would equal $1,233 per month, more than enough for groceries.
Again with the Social Security is on the brink of insolvency crap.
As long as the U. S government has the power to tax or borrow, SS will never be unable to pay benefits.