Some Americans are looking to make their financial situation a bit better, and this may come from developing a plan to secure their financial futures.
Many members of Generation X noted attempts at just this, with a total of 52 percent polled explaining that they will ensure they retire on time by using some sort of retirement plan, according to a report from the Transamerica Center for Retirement Studies. These include 403(b)s, 401(k)s and IRA accounts.
More than 90 percent of those polled explained they think that having a 401(k) – or a similar option – was important to working toward retirement goals, the report explained. Nearly 85 percent of those polled who have the option to use one of these plans ensure that they have an average contribution of 7 percent of their salary each year.
“2014 represents a confluence of economic and demographic occurrences,” said Catherine Collinson, president of TCRS. “As the U.S. economy and American workers are still recovering
from the Great Recession, 2014 marks the year that the last of the baby boomers will be turning 50 and the eve of Generation X’s mid century milestone birthday.”
Americans look to save more for retirement
While there may be a number of expenses and other focuses in a person’s financial life, a growing portion of people are taking retirement savings seriously. According to a report conducted by Harris Poll for the National Endowment for Financial Education, close to half of Americans think that having the right amount of money for their retirement savings is their biggest financial priority. The level was slightly higher than those who were polled in 2011, when just 47 percent felt this way.
“People are more in tune with the importance of saving for their retirement years,” said Ted Beck, president and CEO of NEFE. “Economic recovery is inching forward yet many individuals and families still are experiencing difficulty getting back on track. Americans seem to be finding reassurance in more long-term financial-security-based values rather than material values.”
Both of the years included in the survey still showed a significant focus on retirement compared to other types of savings. The report explained that in 2014, just 13 percent of those polled had owning a home on the top of their list. In 2011, the figure was 17 percent.