It’s the third week in October, which means we are celebrating National Retirement Security Week! When first created, the goal of National Retirement Security Week was to create awareness about the need to plan and save for retirement. In that spirit, today we are sharing information on what you need to know for a secure retirement.
How much do you need to retire? According to Fidelity (and other financial advisors), these are the target savings by age:
Unfortunately, most Americans are missing these targets. With additional data from Fidelity, the median 401(k) account balance is just over $24,000 total.
As we have noted again and again and again, our country faces a retirement security crisis. This is what drives us to educate Americans about the advantages of preserving pension plans for as many employees as possible (we even made a short video about the contrast between pensions and 401(k)s).
In addition to providing a better value for state and local budgets, pensions provide a pathway to a secure retirement by providing a guaranteed benefit at the conclusion of one’s career. It is also important to note that PENSIONS ARE PORTABLE. Public sector workers are able to take advantage of the retirement savings they built in one job and bring it to their next one.
National Retirement Security Week provides an opportunity to reflect on how to plan for a secure retirement. We hope that the information we supply today and every day helps demonstrate the need for a secure retirement for all.