15 May Retirement Age Goes Up by Seven Years
The recent Gallup’s annual Economy and Personal Finance survey conducted revealed that the average nonretired American now expects to retire at age 67, up from age 63 a decade ago and age 60 in the mid-1990s.
Today’s younger nonretirees are more optimistic about being able to retire at age 65, compared with an expected retirement age of 68 for those aged 40 and older, a statistically significant difference.
What About Being Comfortable?
Unfortunately, the poll also found a new low of 38% of nonretirees saying they will have enough money to live comfortably in retirement. It seems the number has been below 50 percent since 2002.
Naturally, this decline in expected financial comfort in retirement directly equates to the decline in the percentage of all Americans who are able to live comfortably in current times.
What Does This Mean?
Expectations for retirement have changed in recent years, due to the economic issues like housing bust and stock market volatility; however there are also serious questions about Social Security and Medicare’s ability to sustain retirees in the future.
As the economy begins to strongly move in a more positive direction, Americans are regaining some optimism about their retirement.
What do you think? Has retirement changed permanently, or are we experiencing another cycle that seems to mirror the economy? We’d love to hear your comments below or on our Facebook page!