TD Ameritrade asked about 2,000 folks of varying ages about their retirement savings. Overwhelmingly the majority gave themselves a grade of C or less.
But the numbers for individuals in their 50’s is revealing of the overall trend.
Less than $50,000 37%
More than a million 8%
Mike Smith, President of Avidian Wealth Solutions, says those people graying at the temples with less than $50,000 in savings have a tough road to hoe in retirement. “Unfortunately they’re not in great shape. Probably the availability to retire and have a consistent cash flow means they’re going to burn through that savings pretty quickly, and that’s unfortunate,” he says. And those who have socked away $50-$99,000 aren’t going to have an easy time. “That doesn’t leave you a lot of wiggle room. You’ll see them heavily dependent on Social Security and a very difficult time in retirement especially if we see inflation take over.” Smith says every worker with access to a 401(k), especially with an employer match, should take advantage of it, and those who don’t need to be saving on their own.
photo: Getty Images