Talking Points
Covering Health Care in Retirement
A 65-year-old couple retiring this year will need $280,000 to cover health care and medical expenses throughout retirement. This is a 2% increase from 2017—and a 75% increase from the first estimate in 2002.
How People Save
Based on a recent survey of 1,000 adults, Americans, on average, save 7.6% of their salaries for retirement. The average increases to 8.9% for men and decreases to 6.4% for women.
401(k) Participants
In 2014, 63% of workers ages 26 through 64 participated or had a spouse who participated in a retirement plan.
Help Wanted
Workers would like the following:
Downside to Longevity
Sixty-nine percent of high-net-worth investors in the U.S. worry about how they will cover health care costs in their later years, as longevity continues to extend.
No Savings
Twenty percent of working Americans are putting no money aside. Their No. 1 reason is too many expenses, cited by 39% of respondents to a recent survey.
Fixed-Dollar Fees
Sixty-seven percent of defined contribution consultants charge fixed-dollar fees, down from 75% last year.
Getting Social
A growing vast majority (86%) of advisers who use social media for business report it has helped them gain clients—up from 80% in 2016.
Still on the Job
Eighty-eight percent of Millennials say people in their 20s and 30s will need to work much longer than have previous generations to retire with the same level of financial security.