One in five American workers think they will never retire fully
A global survey conducted by HSBC Holdings found that one in eight workers expect to never be able to retire fully.
The report, released Wednesday, surveyed 16,000 people in 15 countries and found disparities among workers’ expectations in the U.S., Britain and other countries.
Five years after the financial crisis, the United States economy is still recovering, with an elevated jobless rate of 7.3%. Wages have stagnated and low interest rates put in place by the Federal Reserve have slowed savings by Americans.
One in five American workers said they wouldn’t be able to fully retire, according to the report. The percentage is roughly the same in Britain.
Among those who have retired, nearly 40% said their income was less than they had previously expected. A third of those workers said they blamed the financial crisis for wiping out much of their nest egg.
“Generating an adequate income in retirement remains a major challenge for most people, given the financial conditions created by the global economic downturn,” said Simon Williams, group head of wealth management for HSBC. “Today’s workers should prepare for retirement as early as possible to have some certainty.”
The survey reported that 63% of retirees feared they had not saved enough to live on and 70% regretted not having saved more.
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