Worries about health care costs and
Social Security uncertainty have many Americans planning to make
financial sacrifices in retirement, according to a survey conducted for
the American Institute of CPAs (AICPA).
The survey found that
only 46% of non-retired Americans are confident they will reach their
retirement goals, compared with 49% who are not confident (29% not sure,
20% don’t think they ever will). Only 5% of non-retired Americans
report they have already reached their retirement goals.
lack of overall confidence tracks with anxiety about the financial
aspects of retirement—with two-in-five non-retired Americans (42%)
saying they are either very anxious (14%) or somewhat anxious (29%).
When these Americans were asked the specific cause of their anxiety,
health care cost (71%), health care uncertainty (68%), affording
everyday expenses and bills (67%), Social Security uncertainty (62%) and
uncertainty over tax rates (52%) were cited. In addition, figuring out
how much money will be required in retirement (70%) and the overall
difficulty of planning for retirement (54%) are causing anxiety for a
substantial percentage of non-retired Americans.
non-retired Americans are more likely than those who are currently
retired to plan on making at least one financial sacrifice in retirement
(92% vs. 72%). Those sacrifices include:
NEXT: Sources of retirement income
- Working full-time longer than expected (45% non-retired vs. 11% retired);
- Working a part-time job (43% vs. 17%);
- Moving to a less expensive city or town (40% vs. 22%);
- Forgoing medical care or treatment (28% vs. 14%).