American Advisors Group: Retirement savings crisis is a real thing
Other key data from the survey were:
- 43% of seniors rated the condition of their retirement savings as fair or poor
- 47% of seniors say they find it difficult to save for retirement
- 44% of seniors feel they have not saved enough to retire comfortably
- 57% of seniors say they are only somewhat optimistic or not optimistic at all that their level of savings will last through retirement
- Almost 40% of seniors are worried about making ends meet
- Nearly 60% of seniors are cutting back on non-essentials to save money
Of those respondents who answered they were cutting back on non-essentials to save money, 80% said they’ve reduced dining out, 71% have traveled less, and 62% have cut entertainment costs to minimize expenses.
AAG noted that while seniors look for ways to increase their cash flow, collective senior housing wealth has reached a record high of $11.6 trillion.
“Through a federally insured Home Equity Conversion Mortgage (HECM) loan, more commonly known as a reverse mortgage, seniors aged 62 and older can access their home equity, eliminate their monthly mortgage payments, and remain in their home long term,” AAG said in a statement. “Reverse mortgage loan borrowers must own and occupy their home as their primary residence, pay all taxes and insurance, maintain the home and comply with all loan terms.”
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