Mature Market Experts Stat of the Day: Baby Boomers and Retirement Saving

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Mature Market Experts: more mature market news and stats more often – Baby Boomers and Retirement Saving – 20% of baby boomers have stopped contributing to retirement plans due to economic hardships.

$88,000 is the average retirement savings of baby boomers, who contribute to tax-qualified plans. $5,000 is the average annual income those savings will produce.

64 % of working women aged 21 to 64 do not contribute to a retirement fund.

Source: Corridor Inc.

Note: If you are a financial institution and you are not targeting women, you are missing the boat.

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Mature Market Experts Stat of The Day: 70% of 60+ Respondents Are Cutting Back On Essentials

How is the mature market responding to today’s troubled economic times. In Feeling the Economic Pinch: A MetLife Poll of American seniors 60+, 87% of respondents said they are curtailing their spending; 70% are cutting back on essentials like food and transportation. Eighty-two percent are spending less on non-essentials like dining out and vacation. In addition, 17% report having had to provide more financial assistance to family and/or friends as a result of the current economy.

 

“There is no doubt that older Americans are being adversely affected by the current situation,” said Sandra Timmermann, Ed.D., director of the MetLife Mature Market Institute. “A closer look at the findings shows that women are tightening their spending habits more than men, and not surprisingly those who earn less are cutting back even more. “While there have been serious economic downturns in the past, it is clear that this group of people over 60 feel particularly vulnerable during this time of their lives. Yet, it appears that they are not, at this point, changing their longer range retirement plans.” Of those who are working, 73% said they would not postpone their planned retirement date because of the current economy. Only 16% of all respondents are withdrawing or plan to withdraw more from their retirement funds than they originally planned.

 

Source: MetLife Mature Market Institute

 

Despite the fact that the mature market is tightening their financial belts, it’s still worth remembering that they control the bulk of the nation’s wealth . . . particularly mature women as this PowerPoint points out.