American workers and retirees are expressing higher confidence about their ability to afford retirement this year, even though there is little sign they are taking the necessary steps to achieve that goal, according to the 25th annual Retirement Confidence Survey—the longest-running survey of its kind.

The 2015 annual Retirement Confidence Survey (RCS) marks the 25th year of the RCS, making it the longest-running survey of its kind in the nation. Among this year’s highlights:

• Whether or not Americans have a retirement savings plan is a key factor in their outlook about having an affordable retirement. The 2015 RCS by EBRI/Greenwald & Associates finds that the nation’s retirement confidence continues to rebound from the record lows experienced between 2009 and 2013—but this is based on the increasing optimism of those who indicate they and/or their spouse have a retirement plan.
• The percentage of workers confident about having enough money for a comfortable retirement, at record lows between 2009 and 2013, increased in 2014 and again in 2015. Twenty-two percent are now very confident (up from 13 percent in 2013 and 18 percent in 2014), while 36 percent are somewhat confident. Twenty-four percent are not at all confident (statistically unchanged from 28 percent in 2013 and 24 percent in 2014).
• The increased confidence since 2013 is strongly related to retirement plan participation. Among those with a plan, the percentage very confident increased from 14 percent in 2013 to 28 percent in 2015. In contrast, the percentage very confident remained statistically unchanged among those without a plan (10 percent in 2013, 9 percent in 2014, and 12 percent in 2015).
• Retiree confidence in having a financially secure retirement, which historically tends to exceed worker confidence levels, also increased, with 37 percent very confident (up from 18 percent in 2013 and 27 percent in 2014). The percentage not at all confident was 14 percent (statistically unchanged from 14 percent in 2013 and 17 percent in 2014).
• Worker confidence in the affordability of various aspects of retirement has also rebounded. In particular, the percentage of workers who are very confident in their ability to pay for basic expenses has increased (37 percent, up from 25 percent in 2013 and 29 percent in 2014). The percentages of workers who are very confident in their ability to pay for medical expenses (18 percent, up from 12 percent in 2011) and long-term care expenses (14 percent, up from 9 percent in 2011) are slowly inching upward.
• Cost of living and day-to-day expenses head the list of reasons why workers do not save (or save more) for retirement, with 50 percent of workers citing these factors. Nevertheless, many workers say they could save a small amount more. Seven in 10 (69 percent) state they could save $25 a week more than they are currently saving for retirement.

Target Setting ................................................................................................................................................. 22  In fact, Retirement Plans However, RCS Methodol and a (33 household inc adviser h remaine cent of work Target Setting which course, some expected reti exclu It should be n F preretir savings ne igure perce d ? ? ?n rose in other 2 many ement A Both A chil d 3 g th a ,n chan fairl T wor ndli eds t) t fro y 7 e er r workers d a pe ome, on y e ng t hink th k o retirees m calculat value o perc workers ackno m income. Just s and 10 perc ge in e steady at ment a ers and retir ted th s of 12 ge h 18 e ent stat p D ogy ey n invest at alt e fm and r e or ol th g ircent avera on ar b e ployment t e ha eir ro Owne e nti h e e m e 1 der e d i ough ughly s increase o e more primary hom tirees ar ent or g es say they s w it wou to save n ent 6 n positive reasons for ret e, 2 percent le (d b dge 008 10 from no 55 percent of workers (9 40 situation (1 retirees), y per l likely p d have they to perc e less lik W e less d rcent of o c . H 21 rkers and Re e w c e t w n ent very p o than l o perce t), movi until t a and a and end little time wever, io fe n save mor ttle im parents or 7 per rkers say the ely th el very 20 2 n h nt in 2 ey r conf y c ng to a pact. O perc an in incre ent). perce def 2 tire co ei0 itir ie ri e parents-in d n asing r the 2014 RC 13, es n nfid ng expe ent e n e than th t of do td y t). l...................................................................................... 19 hers (Fi e will earl remai and 1 ben ent about ss conser ing reti their ct to ge ure reco ne y, s e tireme ey ar fit n 2 -la inc 0 ed an rece s pla u reme gni 1 c percent at 18 perc w S ). h vative investm e affording ome, 1 nt conf to descri as n ive bene z (22 currently Not sur s, is less tha e the nt pl income r bperc e not at in 9 anni ide pot g a perce ent in this p fits fr be t ent o a co risingl n savin e ng—l e ce bntial pla le all con h ent n n mfortable may be om a to af eir f $ t say they cy g workers an ess than th ement r consequenc level , those w . Sev 25,0 (7year’s RC ffo per defi ident dam 00. rd an eof debt n ne ca reti Th ent ne in tio i fr d h p earlier r d ey om 20 o r 10 enin ) ibene ed to S. e s , an e 5 perc n are not inclu ment (33 per as a s (69 spend pl retirem of such Combi g th d fit save 02 buyi des perc ent o e problem. (pensi e thro tirem conf nin perc e anni ng an 28 ent, bet nt o fg that ugh ident e on) or e perce eived w c nt n fent up v g een at Fi ent, for plan fty- n vs. t Ruth Helman is research director for Greenwald & Associates. Craig Copeland is senior research associate at the The 2015 Retirement Confidence Survey: Having a Figure 7 Figur Figur Fi Figu Fig guure re eere   25   35 46 5  9 Figure 32 th Figure 43 Figure 16 retirees 20 a from 6 who say t 200 most often sa percentage with the 14 need to least 85 in reti the hol (31 about t 12 selling pro perc perce 7, nd 29 rement, but t 2 ih days. ent ), an one postpone ret eir percent. Th perc n hp per t) o ey ret h wh ert percent of workers d e eWhil ying it have l c n grandchil perce y only 32 o have r irement ent of th want t in (4e percent 2 4 i n wo e e cit 011 ing to itage not ss than reme prospects are n percent report that dren uld eir i perc 10 ) sa e st d i do ) nhave a do somethin (40 .n t ating they n y it is ent of work ne a $1, (6 perc , as the come an come replac p (down from 00 calcu erce major i po 0 i ent overa ssible for t n also n d t) l savi wer atio of an g e ers who workers an ement rates m more likely to other they an workers an e ll percenta n). lngs. Ap se (17 58 per pact/e very co h say they 20 em to pe d/or ff c proxim perc ect nfi ent in 2014) d o rcen ge ar d th d save $25 a n (14 ent i e 24 percent say they e-th e in of ei n t). are ately 1 t declin work r spouse cur perc n ird lin di not too cat (33 e ent); ers po in and with ed in do not know e of r week more tha 1 p they need to sa t c 0 e 31 percen r h e stponing retir rcent e o e r200 ey wo ently h tirees). nfident sho tirees’ report ach re 8 a ) of uld hav n port tot a how reti d 20 t of r ve su n r t w ve 30 much th e 0 ees say they e h e ment has ed s th 9 ch a tirees (down ey are curr a to make (Fi ls of experience. at on g percent benefit ure ey n $2 e-thi 2 dec 5,00 u ) e spent en p . with a ed to l or more. Ho r rfrom 0 tly saving. d eased o Fi –$4 st savings w (32 percent) fty-seven ei s9,9 44 a current o ght or ve. As from 99 percent in Thi wever, (9 22 percent one more p h sr per en e r- - Employee Benefit Research Institute (EBRI). Jack VanDer Figur hei ise the  3 research director at EBRI. This Issue Brief was These findings are part of the 25 annual Retirement Confidence Survey (RCS), a survey that gauges the views and Expectatio ns About Retirement ............................................................................................................................. 23  A sense o One of the f sav prim ings shortf ary vehiclall es notwithstan that workers u ding, ma se to save ny wor for kers co retireme ntinu nt is a e to be n em una ployer-s ware of ponsored r how much etire they n ment savin eed to s gs ave for plan, How Wo Retri krRetir eeWo re  Con Con rekee frfExperience ide idence  Connfceid   in en in  Ha Ha c eWith  vving in ing  Ha   Lev  En Enoug vioneugl  gof Enoug hh   Sa  Mon Mo vinh neg  eysy   an to to d     Retirement Savings Plan a Key Factor in Americans’ Figure 24, Total Savings and Investments CompariLi sokne lReported of y  Re Expe actct iby oend Workers Amo  of  (W  Ploan rk ePrs articipa  Expe ng Those cting ntsProv  if  to   idin  Reg a tire Res )  ponse, by Plan ? ? A siblin Needing to g (10 pa percent y for health and 13 ca Trre costs (12 percent percent). end in Wo rkers’ Ex ). pected Retirement Age cent), might cent i inclu indicat more than hours pl they ret of retir previous empl des 5 n $ ex e th 2 e201 50,0 u es say anni 0 pect, rned 1 5 on ey l 3 4) in pe 0 n t0 e-q g o oyer. a their to work the rcent o –$9 for 15 ck confi dicate uarter p perce the 9,9 incom ercent f99 they hol (9 per ( d worke n enc 2 (1 tag Wo 7 ie i days in th i 0 perce e n have e n c perce in r 2 r of ent); s who retir k014 their finan e workers R r n a  n t) e they ean an problem t), ment t s e have ird a d $1 past year, on ees y t   wo Re 13 is 0 who r h n c 0 perc  t ey do o no mor Ha ial uld ,00 iwith t saved a repreparatio ving 0e have to st e ent – th   not port Expe $24 eir l e in ly on  Sa tha kn th 9,9 n 20 ct v e y ey ne ow ho vel o e 99 n e-thir 15 ns money for a op d 70 t for r  ion (1 (Figu or Mo ed percent f0 w mu d (3 de reduce their r   to perc of n erbt. T tirem e e 4 per sa  yLi reti ch 31 en  vi fo ve each of h they s ). t), an e e ty n rement. cr nt, compared with their ent)  gRe  to pes d th year ei  of pr Ag or $2 tirem e of debt uld Wh worke eretir me 50,0 e i b sat s e  n 85 e inversely r n 00 or s et would th tr most f m contribution s  aan ving and ent in more d two   95 2 in 10 (Fi requ come, - ey ha e thir g (1 la ue ted to rds who 4 p ntly r e 2 (21 (7 perc ve to 12 e 0rcent, ). curr perc e perce po give are co ent rted ar ent sa en u n )up t p t levels o ; t t) nfident from ho e y it is ey f attitudes o written with assistance from f working-age and ret the Institut ired Amer e’s research icans regardin and g ret editorial irement, t staffsh . Any view eir preparati s expressed in t ons for retirement, th his report eir co are tho nfidence se of Retirement Confidence Among Workers,  retireme such as a 4 nt. Le 01(ss than hal k). Indeedf, 71 (48 percent percent of employed work ) of workers reporers (48 t they aperc nd/or t ent of heir s all pworker ouse ha s in th ve ever e RC trie S) r d teoport t calculat hey ar e ho e w Ownership ..................................................................................................................... InveMo stm neeyn tto s Ma  Paytc  fo hers  Lo  Wi ntgh -Te  Expect rm Car ateions ......................... 20 anTa dTa  Actual kkee  Car  CaAu e  r(R e  of  teof ot  Me -i en Basic rees) rdoicl  laWo Expe ed l Expe  at rknse   3% fonse rs   an Pay  in s d  in Re   in 6%  Ret t iRet reirm eirem enm etnetnt Retirement Age ............................................................................................................................................... 23  3 4 Retirement Confidence Compared with what they expected when they first retired, retirees are more likely to say their expenses in retirement saving an retirees r save this mon (25 percent very confi 11 perc would be 70–85 percent ent in 201 mortgages, ed una port inv ble e they s estments. Furt ,y for and 12 to retir 4) retirem cr (Fi pedit d ent g ent percent say it e ure th (7 card debt, a 18). e perc at amount n nt? her, those d 43 perc Almost h Ret ent and car ) irees provide ; or is of t wit eat l n tt a h ih some e me plann lf ey wo out a ast 85 percent (5 loans (46 w househ percen uld hav simila h . aing for retirem t cFigur oFigur rt) repo nf estimates of e old to iden e rdip into e e  perc t) (F 40  tirement rt t 2 h ent e ig ey nt. u savings t rwould give of work o e 1 pla Th tal house 1n )ese ar . (DC, (5 ers an per h DB, up eatin e a old savings cd 19 ent). p or IRA proximate perc One g o)u ar ent o (Figu t or in le m y th 1 take-out f 0r retir o e 1 e same as (10 re likely tha 9 percent e ).es ar food. e the ) unabl Others n are e the authors and should not be ascribed to the officers, trustees, or other sponsors of EBRI, Employee Benefit Research with regard to various aspects of retirement, and related issues. The survey was conducted in January and February by Retirement Plan Ownership, 2013 ?2015 much mon offered sucehy t a pla hey w n with t ill neehdei tr current em o have saved plso that they oyer, and mor ca en live than comfor three-qtably i uarters n ret (83 ire pment. T ercent) of he eli 48g perce ible em nt that ployees report Figure 34 ? ? Lack of A child u faith nder 18 (8 in Social percent Securi and 5 perc ty or governm ent)e.nt (9 percent). April 2015 • No. 413 Figur Figuree  28  18 No Do Ho Ho Ho Ho Suppose RCo e  tyo alis  w w w w m includi     up co co co lik tic  athi ely n n nrae  fffyo ln iiidlng d d d  ykdo  ,e e e u with   yo  n n n at  So chang  tttyo     uwha ar ar ar c   u wh iwi al e e e  think     lyo yo yo eSe tat l  ddo ag  u u uc  yo jobs u    e   tha tha tha an yo r  udo it  ex u yy  tttan        wo or yo yo yo yo w pd eill  u u u uem  cryo      ktbe w w w ex e  fo uploy d ill ill ill p  rto  r    wh e  ha ha ha  ne pa c  liv ter vvven  w yto e e ee -     pr af    em  enough enough enough yo un re tovid eu ttil plo ri re  fir  yo at ed ?yser u  t    leas mo mo mo    re mo re  aut ttn n nitin rre  e e eeo age eyyydm ?y    ,to to to ,/  aH wo  did 85/9 tic    apa ta tave ua  kkyo yllly e ed   5yo fo    uca ca ?yo  e  ru(and/ n  re re u long  rwo  o   sa of of lled ry   -or kyo yo  te yo e  dyo u u ryo u m  rrfo r   u uba me   curr ca  rrin   pa spou sic re di toen y, c   e  their asuch sin xtse) l pe  elecx venses penses   per as wo e  yo l  of nur sru  okdu   sa pl n res  ally ring aivi tng icre ngs e    sa d   ?  v  e  are hi gher than expected (37 percent) rather than lower (24 percent). Thirty-five percent report their expenses are Confidence Figure Working 25, Likely Reaction o for Pay in in Entitlement Program Retirefment Plan................................................................................................. Participants if s Auto-enrolled at 3% and 6% .......................................................... 21 ......................... 27  those wit would give to estimate t unabl percee to ntages h say a up: t plan to t hh e replacem what t at report spe hhink t e efent fec hn ratio) (Fi ey ne tdin might g ed to sa eight or bg eure . more ve at l 41). e hours ast 50pl Figu perce annin re n g  t of 29 for soc theiir income al events (34 (18 perce perce nn t vs. 8 t of wor perce kers and 2 nt) and t 3 percent o say Retiree Confidence in Having Enough Money to  201 Institute-E 5 through ducation an 20-minute d Res tel Ret e ephone arch iree Fun Co intnf dervie (E idBRI-ER en ws wit ce Tha F), h 2, or t t00  Med h 4 indiv eir st ica af idu re fs.  aWill ls Nei (1, t her EB Co 003nt worke iRI nor nuer  to s a EBRI-ER  nProv d 1,00 idF1 r e lo   e bbies or takes tirees) age 25 positions and By Ruth Helman, Greenwald & Associates; and Craig Copeland, Ph.D., and Jack VanDerhei, (40 percent of all trying to do a retirement-sav workers) sa ings-n y they co eeds cal ntribute culation money to in the 2015 RCS their employe is srt’s atistically plan. comparable to many of the an during hom yo re an ytu  idmo rre   ein re m  or n  vyo teeei re nt syhom ut  m fo rm  plan,  re e re ent nre t ithealth re ?st  de i  ar re mfem eeTi  nt hi rring e  ca nt ?gm hr  ebe e  i3% ,rng  ,sho f  about o/6% re  uof  yo ld  of   th  uyo Ret   yo re eu  same  tuneed irrie  re salary d?,    m it or These  du   loe inrin wnt toe  g  sa rthe ,  yo  th viAm a  ng uplan. nr  sre yo  o co tu   in u r  Wh e ex lg dmp   include ieR ecnt hce t  one ?etdi rees th   mo of em  the ne  toy  f   be o yollo u  at w  per  th ingis s onally do  po iyo ntu   put in       Overall, how confident are you that you (and your spouse) will have enough money to live comfortably throughout  Amount of To  Sa talvi  Sa ngvin s Wo gs and rker sIn  Th veink stm  The entys  Nee Repd o rfo terd  Ret  byirement about t ? hAlmost two-th e same as expected irds of workers (Figure 45). (64 Those who hav percent) say they f e a e problem el they are with debt behind are es schedul pecial e wh ly likely t en it comes to o say their plannin g Workers Retirees Where the world turns for the facts 1991 2000 2005 on U.S. employee benefits. 2010 2014 2015 they do of retire not es) an knd vacatio ow how mu ns (31 percent ch they P nee lan of workers and dning to save (39  Steps Ta perc 20 ke ent vs. 22 n percent of reti  by Wor per kecrent). rees) s and in t  Re hte irees past year   (Figure 13). on specific policy proin p yo th titosals. om uin  ra  e kre   ?re yo t   itreuirm  e EBRI invit wo m enteu nt lye d  abe pla rs?  n mo  at es c s two  likrk e ol.mment on y to do? th Fig is research. ure 14 older The reason t in the United States. hat workers m Bene Random ay be less lik Livfits e Co di  ofm git  at fely or dialin  Leas to expect tha tabl g ty  was us E  Thr quaoled ug  Va n reti to hout lu obtain a er eto  es ar Their  Ben e repr  to receiv eRet fiesentativ tsir  Rec em e ieennie co vt cross sectio ed  Ye me from  aTo rsday Socia n of the U.S. l Security is because Ph.D Sources of Ret ? ?., Em Higher A gran ployee Bene -than dchi irement ld (4 percent -expect Incom ed fit cos an Research Institute e .................................................................................................. t o d f13 livi perc ng (ent). 9 perc ent). ........................ 27  perce Figure ntages 26, Likely Percenta reported from 200 ge of Salary 8–2014 (Fi at Whic gureh Pl 27). an Pa rticipants Would Discontinue Auto-escalation ........................ 21 35% Ve Verryy  Co Con nffiid de en ntt So Som me ew wVer h hat at  y Co Co  Li nf nfkiid dee ely n ntt No NoFigur tt  Too Too  Co Coe n nff iid d11 en entt No Nott  At At  All All  Co Con nffid iden entt Do Don n''tt  Kn Kno ow w//R Ref efu ussed ed expenses are ? and savin Soft drinks or high ge for r. snacks from v retirement. H Wo e ondi wever, t rkneg machin rs Among his assessment may no es (13  Those perc  P ent rov ). idt ing be  a based on  Response a careful analysis of their individual 36% Very Confident Somewhat Confident Not Too Confident Not At All Confident Don't Know/Refused Workers with some sort of retirement plan, whether thro Fig ugh ur their e 38 employer or an IRA, have significantly more in population. To further increase representation, a c to Prep ell pho are n e su for ppl Ret emen irem t was a ent dded to the sample. Starting with the confidence in Social Security Ver’s abi y Confidelity to ma nt SomWo ewhintain t atr  Coke nfir de nAsse h t e curr Noss t Too ent va me  Confnidtelu  nof te o  Progres fNo benef t at All Coits pai nsfi din ent  d to Don retire 't Know/Res is lo efused w. Just 9 percent of 100% 100% Ho Ov Did How er w  yo   all, mu co un   re how cfihdt ido eren  co  t  earlie yo  ar nfueid   th yo ern  itha n u (n t k  ar tha ot  yo ne  inc  yo  tuyo  the  l(and u udin u  planne   tha Medic g  yo va t yo u lurd, ea  uspouse)  r  of  la e(and    tprima syste er  tha yo  m rw yun   rill rw   eyo spou  sill need ide u  c o nc pl se) n  anned, eto t inue or  w  accum  de ill  fto ha i ne or  vpr du  eabout  la  ovid bene eno te in eu f i when tg  bene  to h pla  ta mo nls)  f  by yo intseu   ythe of   pto  lat anned?   tim li  vleas ee    yo t eq u ual ret ire  100% 40% Confidence in Entitlement Programs ............................................................................................ Respondent Figur Resp e o22 ndent and/or Spouse ...................... 29  Worker Confidence in Financial Preparation for Retirement circumstances. Only 48 percent of Some work what Liers report kely they and/or their spouse have tried to calculate how much Figure 27, Workers Having Tried to Calc 3%   ulate How Much Money They Need to Save for a Comfortable Retirement ..... 22 95% 95% 34% 50% Retirement ? ? Wanting to m Some other relative and health benefits are at the heart of w ake sure they (15 perc have enough ent and 13 percent). money to r etire comforta orker 7%  bly s’, emplo 11% 74% (8 perc    36% ent ye )r . s’, and our nation’s 15% savings and investments tha Copyright Information: 95% This re n do those port is wit copyright hout a pla ed by the Em n (Figure 24 ploye ). Furt e Be hermore, o nefit Rese n a arch Institut household e lev (EBRI el th)ese . It may worke be rs Retiree Confidence That Soci Figur Fiagur l Secur ee  20 13 11% 9%i     ty Will Continue to Provide  200 workers are v 1 wave of ethe RC ry confident t S, all va co so lm u tha efo  to t d r tyo a  the a b huta are lat the Socia y  ca   ben thr n oliv eug fits we e hou co  rem ight ct feyo oivrlMu ta u e ed Security system w rdb   re clby yhby a t   in i 14% lo re re  we re m ti  re tg erire nt e, esm    s ye to ee ant dra xs?y,?? and educatio ill conti 20%10% nu  en to r to provide eflect the actua benefits of l propo at least equa rtions in the a l value d to ult In total, about how muRais cPhl  mo annin e the ney  c  wo og ntri  uland dbu  yo tion u  Sa  sayvi  yon ug  (an  fo d ryo  Ret ur72%  spiouse) rem  cur enren t tly have in savings and  90% 90% Earlier Than Planned About When Planned Later Than Planned 11% ? Movies, videos, DVDs or streaming (12 70% percent). Fig ure 27 70% 74% 70% 90% 9%   21%   12% 31% Worker and Retiree Perception of Debt Load69% To prepAg are e  fo 85r retirement, have/did you (or your spouse) done the following 30% : The 2015 Retirement Confidence Survey: Having a money they will need to 28%   have saved by 11%Not too Li th 68 ke%ly e timeFigu theyre re  45 tire so that they can 71% live co 71%mfortably in retirement, a economic security. Founded in 1978, EBRI is 67% the most authoritative and objective source of 33%   67% Income Needs in Retir 85% 85% ement .................................................................................................... 14% 11%   ........................ 29  Introduction inves66% tments, not including 66%  the val20 ue0  of 566  yo %ur 201 prim3ary 66%  re 12% s201 idence 4  or 201 defined 5  benefit plan assets?  tend to hav used without e r permission etirement 85% savi but citation ngs in multi of tp hle e source vehicle is re s. Alm quire ost two-thir d. 11%   ds (63 percent) of those with money in an population. Data for waves of the RCS Pe conducted rcentage Sp befor enedi 2001 ng Eig h68% ah ve t 68% or be en Mo wei reg  14% Ho hte   u dr tso  68% allow65% for co 32% nsistent comparisons; the Figure ben28, efits Am reount of Savings Workers ceived by retir Ben 21%Pe ees efr today, ictesn  of ta  67% at an g Think They e  Lea d 2 of 6Ho s t perc  Eq usNeed eh ent a uaol Va lrd for Ret e somew  lIncom ue to irement  eBene h at Tha confid ........................................................... fits t Wo  ent. O Re rkceerinsve-thir  eThin d To d kd (3  a3 ypercent) of worke ....... 23 rs are Established in 1978, the Employee Benefit 17%   Wh Hoewn  con  Ve Ve it rrcom yyf  iCo Co 63% dent n neffiisd d  e eto ar n ntt epl  yo annin uSo So  th m mg e eaw w  tand  h hyo at at   u Co Co  sa  ar nf nfving iied d e edo n ntt fo inrg  re aNo No  tgo ittr  e Too Too om d    e Co Co job 66% nn ntff, ii of d dwo en en  pr tt63% uepar ld yo No No ing utt    At At sa  financi   All All y th   Co Coan ntffa  id idyo llen en yu  ttfo  ar r eyo  Do Do ahea urn n ''re tt   Kn Kn dt io oof re w w m //schedu R Ref ef e66% nt u ussed ed ? le, 10%   80% 80% 28% 65% 15%   Workers Having 15%  Tr   ied to Calculate How Much Money  80% 64% 9% 64%55% 10% 61% 63% While relevel t tirees hare oft at has eheld relat n thought o ively f providi consistent ove ng this type 62% r the of past care for deca th de. eir spouse, just 5 perc 62% ent of retirees and 4 percent information on these critical, complex issues. th 53% Ho Nowt  atRet  all iLikel reey Experience With Retirement  75% Somewhat61%  lower 16% 75%52%32% 17% 52%26% 52% 52% 26% employer Retirement Savings Plan a Key Factor in Americans’ plan also report th Continue ey or th  the contri eir s bup tion ou  at se have  auto-enr mon olled ey investe 8% d in an IRA (which39 may have % originated as a rollover 75% on track, or behind schedul59% e? 14% 51% conseque not at a The 25 ll con wave ntly, fi of t d some data ent 100% 100% h that e Retir futu in ement Con the re Socia 2015 l S fiden RCS ecuce Surv rity be may dinef ffer ey its w (RC slightly wit S ill match ) finds that h or data ex A 44 m ceed the publ %ericans’ conf ished in valu previous wav eidenc of to 2015 eday’s in th 2015 be eir es of t nefits ability to a he (Figu RCS. rffo e D37). rd a ata Longevity ? Coffe ..................................................................................................................... e from specialtyTh shops ey Nee (11 d perc  toPl ent  Sa an )v . eni  to ng  Lifovre  Va  Corm iofuor s tab Evelnyt  in s  Retireme50% nt44% ................................... 32 50%   56% (Think/Thought) about how you would occupy your time 50% 63% 70% 70% 24% 46% Ho Thinking w conVe  fab id ryeou  Con ntt  far yo ideenu  tyo r curr u tha So 49 en m% tet wh  the financial at  Co Soncfiidal e nsitu  Security t atio Nont ,  To  sy how os  Co tenm  wo fid  ewill nul td  c  yo onNo uti tnue des  At Alc  to lribe  Co  pr nf idyo oevnuid tre  lev 24%  be 49% Do enln  eof 'tfits  Kn  debt? ow/Re  of atfu  leas sed t49%   66% 70%Research Institute (EBRI) is the only They48%  Need to Save for4%  aFigur  Comef ort 31able Retirement of work Figure 29, ers na Plame the nning St ir spo eps T use as a r aken 10% by e Work cipieers and R nt of48% their e car tire 48%es to Pr e. Th 48% e plura epare lity of those for Ret 11% ireme wh nt o provi ................................................ 24 de unpaid care do so for less Recommended C itation: 29% Ruth Helman, Craig Copelev lan e23% ld, and Jack VanDerhei, 47% “The 2015 R47% etirement Confidence 18% No way Expe  of know nses in gMatch 47% es With Expectations 44% 65% 65% 63%2% 16% Have No 22% 22% in retirement 46% 14% from an employment-based 28% plan) and 49 percent say they have r 8% etirement savings in additio 54%n to money in their presente comfortabl d in t e reatirement bles i 90% 65% 90%nequal th has c is re  valuport may e o ntinue to the bene d to not t fits re  re45% o boun ctal eiveto dd from  by 61100 %  reti du re th ese to ro  23% e recor tod  ay? unding d lows and/or experienc missin 13% ed betwee g categories. n 2009 and 2013. This 11% 42%   Retirement Confidence 100% 3% 14% 59% 24% 59% 21% 42%   60% 60%How About  mu  wha ch tim t per e wo cenul tadg  e yo  of u  sa yoyu  yo r to uta  hal vho e uspen sehot lin d  inc the37% o m pas e tdo  ye  yo ar uplan  thinning k yo  fo u r(and  the  yo following ur spouse)  even  ne tsed ?  to  About the same13% 32%   Workers Managing Finances in 19% Reti 26% re 49%   ment    ...................................................................................................................... 33 2004 2010 2011 2012 2013 2014 39% 2002 20200 15 5 Plan201 * 1Plan   EBRI focuses solel 60% y on emplo A lot ahead of y ee schedul benefits research — no lobb e 2% ying or advocacy. than nine hours a week 95%Have(42  you percent of wor (or your spWo o19% user19% )k  trek ied rers and 37 s  toExpe  fig 20u0re5cting  outpercen  201 ho w1to  mu  Re tc20 of r h 1mo t4irn eeetir  y201 La  yo ees ter u5 w ), ill  Th but  neea s dn  to izab   P hala v le enne  sa perce vedd  by n tages the  provide this care Survey: Having a Retirement Savings Plan a Ke 9%  38% y F   actor in Amer39% ican    s’34% Retiremen 14%  t Confidence,” EBRI Issue Brief, no. 413 EBRI Employee B55% enefit Res15% ear   ch25% Institute Issue B 54%rief (ISSN 088725% ?137X) is published monthly 49% by    the Employee Benefit Research Institute, ? Lottery tickets (8 55%independent nonpr percent). 20% ofit, nonpartisan 27%   employer’s plan and an IRA. Moreover, the vast majority 3%(87 percent) o 13 10% f% work    ers with a defined 18% benefit plan through Figure 30, Interest in Using 52% Comp Esta imr 52% e an Online Inv ad te  wi (d)t h ho  wha w mu t yo ch uin  ex co e18% stment Educ m peec  yo te32 ud  (a whe %nd yo n yo ur u ation and A sp  fir ousste  re ) tired, wou dvice Provider ld you say your  e............................................... xpense 45% sin retirement  ..... 24 increased level of confi 80% 55% 80% savdeence does  each year from not  now ap  un pear to til you exbe gro pect to re unded on tire so4%  you im  canpro  live vco ed r mfoe rta tib remen ly throughout t preparatio  your  ns. In the aggregate, 90% Figure 37 17% 22% 50% 50% 50% Very Confident Somewhat Confident Not Too Confident Not At All Confident Don't Kn Ret owiree /Refussed 39% time you retire so that you can live comfortabl4% y in retirement? 38% Retireme 1100 13th S EBRI nt Confidence t. NW, S stand uite 8 48% 16 s 78, %alone in em Washington,Reduc Dpl Coyee , 2e 0  th 0Pe 0e 5  ben rc co -405 43% ennttr 1, efits aibge u att  $3 iSa on rese y 45% 00 ing p  Ei ear r gh ych ear or i t Hour ass s  an or in  Mo clinde udreed201 as pend 2 part eof n 201 t, a m 45% 5nonprofit, and no embership subscription. npa P rtisan eriodi- 28% 16% 16% for nine to 20 hours a 50% week (31 perce wou48% ln d t a need n d eac24 h mon pe thrcent 22%  in retir)e or men t21 hours or more (22 percent and 21 percent) (5 percent of (Employe By Ruth He e Benefit lman, Greenwald & As Researc 85% arLe e shig 27% s than h h Institute, er,  abou $1,00t 0the  Apri same,sociates; a l 2  or 015 lowe27% ). r than  yo2un 27% 9  ex % d Cra pe8% ct3e0 d%  ithem g Copeland, P 28%  to be at 36% this poin2 t 27 in 8% h % .D tim47 e., and J ?%9%27% 64a %ck VanDerhei, 1 43re %tirement? 26% 26% 43% 14% In theory, RCS Methodology the weig ............................................................................................................... 45% 45% hted samples of 1,003 workers an Very Likely16%d 1,001 retirees yield a statistical precision o ................................. 36 f plus or minus   21% 42% 21% 42% 213% % 25% 42% 25% their current or previous employer also have money in an em 31 ployer % retirement 20% 26% savings plan21% . worker savings remain 100% 70% low and only a24% minority appears to be 9% taking ba 26%sic steps needed to prepare 40for retir % ement. cals postage rate pai 45% 70% d in Washington, DC,So and me a wh ddi 17% attio  hig    nal m her ailing offices. POSTMASTER: Send addr 41% ess changes to: EBRI Issue Brief, 1100 or 80%ganization committed exclusively to data 14% 23% 13% 23% 23% organization. 22% Wo 40%rk It analyzes a e22% r Confidence nd rep  Th 40% oa rtt s  Soci resea al 4%r ch Sec data uri40% twithout y Will Con spin o 40%tinue 23% r unde  to rlying Proviadgend e  a. All findings, 40% 40% Do you now expect to retire later, at an older age than befo15 re%?   16%   69% 39% 19% Workers Retirees Figure 31, Workers Expecting to 46% Retire Lat 24%er than Planned 39% ..................................................................... 39% ................ 25 11% 67% workers an However, od ne 1-8 quart percent 40%er (2 of 4 r percent etirees A litt)le state providi  ahead t  of n h  g sche ey wo unpa dule uld not id care nee are 6% d una to give ble t38% o up a estimate t nything to he num save the ber o e f 38% x ho 26 trurs) a $2 % 5 a (Fig w uree ek. 42 ). Ph.D 13t., Em h St. NW ployee Bene , Suite 8 75% 78, Es W tim aa shi 20% tefit (n d  g ) th toResearch Institute e n , D amou C,nt 200  of yo 05 18% u-4 r Soci 051. C al Se 18% ocpy uriright ty ben20 efi15 t at by Employee B 11% en25 efit % Resear40% ch Institute. All rights reserved. No. 413. 3.5 percentage poi35% nts (with 95 percent certainty) of what the results 37% would 37% be if all Americans a 37% ge 25 and older were 35% SomewRespo hat Like ndent ly Respondent and/or Spouse $1,000 ?$9,999 36% 10% 14% 10%10% Instead, increasing co 60% 90% 60% nfidence appears to 54% be base 16 d on t1h736% e i 6%n   creas 18 ing18 optimis 24%16m of th 17 ose who 17 in1 dic 7 ate they and/or their Endnotes ...................................................................................................................... wheth 35% er on financial data, options, or trends, are revealing and reliable — the re ...................................... 36 15% ason EBRI information   is 70% 9% 9% 36% 9% 7% 4% 9% 9% 9% Overall Retirement Confidence 30% Benefits of at Least Equal Value to Bene 38%fits Re 17%ceived Today 30% your (planned) retirement age Report availability: This r29% eport is    Under availa  10% ble on the Internet 7%at www.ebri.org 53% dissemination, research, and education on 8% Stop the contribution all togethFigur er e 24 57% 30% 11% 65% Much higher 7% 30% 21% surveyed with complete 25% 25% accuracy. There ar Mue other ch higher possible sources o 16% f error in all surveys, howev 55% 30% er, that may be more Figure 32, Trend in Workers’ Expected Ret Noti rement A too Likely ge .......................................................................... 6% 30%   40% ................ 26 the gold standard Age 95 for private analysts and decision make 19%rs, governme 34% nt policymakers, the media, and spouse have a retirem 80% 50% ent plan. 6% 6% 50% 53% 3% 19% 25% 42%   27% 60% 25% 40%   But if workers recogni 20% 20% ze they need to save more to ensure a comfortable retirement an Enroll d a 37%led so ackno  at 3% wledge they can $10, Holi000 days ?$24,999 11 49%10 12 1181 47%2 149 Talk(ed) with a professional finan28% cial advisor about 35%   35% How confid38 en %t   are you that the Social Security system will continue to provide benefits of at 4%  least  33% American workers’ confiden Toce in tal Sa the vin ir a 24% gs b ilan ity to retir d In24 ve 20% %set co mFigur e mfortably, ntse  Re  42 34% po   whi rtecd h lan  by gWo uish 11% rk ee d 11r% at recor s Amodn lo g ws between 2009 and 20%55% On tr 32% ac  k serious than theoretical 15% calculations of sa 10% ?14% mplin AT A GLAN g error. These include refusals to CE 21% 25% be 32%    interviewed and other forms of the publi 15%economic security and employee benefits c. 10%. 10%16% 10% 10% 48% 4837% 39% % No 28% t at all Likely 33% 70% 40% 14% 2% 47% 40% reti42% rement planning 22% 29% 12% 24% 15%50%equal value to the benefits received by retirees today? 10% 24% 46% 32% 46% 10% 41% 9% save at least $25 a Figure 33, Trend in Retirees 10% week mo’ Actual re, why aren’ Retiretment Age they do 40% ing so? Half—50 per ........................................................................... 2% cent—say they simply ca 22% Enrolled at 6% n’t afford it .................... 26 due to the 39% 49% 8% 8% 8% 8% 8% Don't Know /Refused 44% 25% 44% 2013, continues to rebound. Twenty-t The Em So wo 38% m38% epercent plo what yee  higBenefi h44% of er work t Research Institut 5% ers are now ve e ry conf (EBRI) was founded in 1978. Its ident they will have enough mon mission is to ey to 10% Number of Hours37%  a Wee43% k Spe 37n %t Pro43v% 45 iding 21 %%    7% Unpaid Care,  45% $25,000 ?$49, Tho 36% 999se Prov 14idin12 g a Re1sponse, 1 10  by21  9Pl %an Owne 9 r9ship11 4 Fin nonresponse, Figures din gs in thi s the e year’s RC 5% 5% ffects of S, t question he longest wor -run Do ding n ning survey o 50% 't51%  kn   and questi ow/Refusedon or f4% its kin 42% 42% der, an d42% in th d e screenin nation,g. incl Wh 42% ude: ile att 42% empts are made to minimize 17%   42%   50% 30% 2015 Retirement C 15%   No way of knowing onfidence Survey Underwriters 25% 60% 30% 2013 2014 2015 20% 2013 2014 2015 5% 15%42 ?19 % % 49%   40% Calculate(d) how much money you (and your spouse)9% 8% 2% 25%9%   14% cost of living and th 0% 0%e press of day-to-day contribute to expe, to encourag nses. Other e, an reasons fo d to enhanc thr not saving, e the developmen or not saving mo 9% t of sound empl 43% 44%re, foro retir yee ben emeefit nt 1998 1999 2000 2001 (n 20ot 02  inc2luding 003 20  va04 lue 38 20 of% 05  prima 20r06 y re20 side 07nc20 e or 08  de20 fine 09d 20 be10 nefit2 0pl11 ans20 ) 12 2013 2014 2015 Very Confident Somewhat Confident Not Too Confident Not At All Co 23% nfident Don't Know/Refused 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 live comfortably throughout their retirem 7% 7% e45% nt years (up from 18 percent in 2014 an 7%28% d 1 34% 3 percent in 7% 2013). Thirty-six The 2015 annual Re 0%tirement Confi 28% dence Survey (RCS) marks the 25 year of the RCS, making it the longest-running these factors, Figure EBRI explo 34, Timit is im ing o res the breadth of emplo f35% possible to quanti Reti 1993 Befrem 1994 ore 60 1995 ent, Among Retirees 1996 AAm  litt199 le o 7be 60 fy th n 1hi 998 -64 gnd  Wo 1999  e errors t sche 2000 rdk ue le y 2001 ............................................................................... r ee ben s h65 an 200 at 2d may result 2003  R efits and related issues. e 2004 tirees 2005662006 -fro  69Prm 20ov 07 them. id 2008ing 70 2009  27% or  Ca  2010 Older re 2011 2 012Neve 2013r Ret 2014ire 2015 ................... 27 1wo 993uld 1994  like1995 ly need 1996  to199  co7ve1r998  hea1999 lth exp 2000 ens2001 es 6%  in 200 ret2ire2003 ment2004 6% 2005 2006 41% 2007 2008 2009 2010 30% 2011 2012 2013 6% 2014 2015 37% Who we are 5% 5% 5% 5% 5% 5% 5% 5% 5% 50% 20% $50,000 ?Ha $99, ve999  Retirement1  Pl1an*11 9 10 1091 No 24% Retireme0nt Plan152 AARP 20% Social Events programs and sound public policy through objective 4% resear 4% ch and education. EBRI is the only Figure 1, Worker Confidenc 100% 2000 e 2001 in Ha 2002ving Enough Money t 2003 2004 2005 2006 o Live Com 2007 2008 forta 2009 bly 2010Througho 2011 30201 % 2ut Their 2013 Retir 2014 2015 ement .................... 6 30% 22% 22% include: 3% In to 3% tal, about how much money would you say you (and your spouse) currently have3%  in savings and  20% 20% About the same 35% ? The percenta The Institute seeks to advance the public’ ge of workers confident about 39% having enough Mercer mons e ,y for a comfortable retirement, at record lows percent say they are somewhat con 20%f ? ident. 29% Twenty-four percent of workers are not at 19% 28% all confident t 37%hat they will have survey of its ki EBRI nd instudie thSo e urnatio ce s:   Empl the worl noy . Among this ee Bened fit Re of health and retirement ben search Ins year’s hi titute and Green ghl waigh ld & ts: Associates, 2015efit  Retirs em— issue ent Confidences  Su such a rvey. s 40 Wor 1(k)s, kers IRAs, retirement 23% 25% private, nonprofit, nonpar 38% tisan, Washington, DC-b 16% ased organization committed exclusively to So So So So So Sou u u u u urrrrrrce: ce: ce: ce: ce: ce:                 Em Em Em Employe Em Employe p p p pllllo o o oyyyye e e ee e e e e e      Be Be Be Be Be Ben n n n nefi nefi e e e effffiiiitttttt      Re Re Re Re Re Resssssse e e e e ea a a a a arrrrrrcccccch h h h h h      In In In IIIn n nssssssttttttiiiitut itut itut tttu u uttte e e ee e       an an an an an and d d d d d      G G G G G Grrrrrreen een een een een eenw w w w w w37% aaaaaalllllld d d d d d      & & & & & &      A A A A A Asso sso sso sso sso ssocccccciiiiiiaaaaaatttttte e e ee essssss,,,,,,      2015 2000 1993 1993 1994 1998  ? ? ? ? ?Re 20 20 20 2015 2015 t15 15 15 ir16% e     m Re Re Re Re Reetttttniiiiirrrrrte e e e e  Co m m m m me e e e enn n n n nfitttttd      Co Co Co Co Co enn n n cn nefffffiiiii d d d d dSurv en en en en encccccee e ee ey      Su Su Su Surv Surv . rrrvvve e e e e15 yyyyysssss.....% 10% Approximately how many hours per week do you spend providing 15%  this unpaid care? 10% 40%* Ha inv vee s Retm tireemnetns,t  Plno ant  de  including fined as19%  res  the ponde  va ntl u ore  sp  of ou  yo se ha urv iprimary ng at least   one res iof dence  the follow  or ide ng:fine  IRA, d de20%  bene fined cont fit plan ribution  a ssets? plan, or  defined  13% 33% Figure 35, Comparison o 90% f Expected (Work 33% ers Expecting to Retire) and Actual (Retirees) Work for Pay in Retirement .. 28 20%So So Prep u urrce: ce:are      Employe Employe (14% d) a foe er   Be Be mal nefi nefi , wr tt  Re Reitsste eea anrrcc  fi h hna   In Inssnc ttiittiu uattle e  pl   an anad dn   G G  fo rreen een r rew wtaaire lld d  m & &  e A An sso sso t cciiaatte ess,,  1991 2015 ?  Re 2015 tire m Reetnirte  Co mennfitd  Co enn cefi dSu enrvcey e Surv . eys. Ameriprise Financial $100,000 ?$249,999 income adequacy, consumer-drive 13 11 n benefits, 14 Socia 11 l Security, 12 11 tax treatment of both retireme 10 14 2 nt and health The RCS betw waseen co-s 2pons 009 and 2 ored Under  $2 by the 0 501 ,00 30, in Employ c$250 reased ,000 ?$499,999 ee B in 20 ene 1 $500,0 4 14 fit an %00Res ?d a $999,999 eg arch I ain 16 $1,000,000 in % n 20 stitute ?15. $1,499,999 T (EBR wenty $1,500 I), ,000 -two a  orpriv  m32% operc reate, non D ent on't kna ow rp e no  / rofit, Don’t w very nonp c artisan onfident public (up enough money to live comfortably thro public ughout th policy reeir r search etirand ement educat yeion on ars (still far econ 9% o above mic securi the lo ty a w o nd em Ret f 1iree 0plo 41% perce syee b net in nefi 2 t is 00s7 ues ), . and Figure 2, Retiree Confidenc be 32% nefit plan.32% e   in Having Enough Money to 32% Live Comfortably Throughout 22% 43% Their Retirement Years 13% ........... 7 15% MetLife 9% 12% the media’ 31% 6% s and policymakers’ knowledge 30% A lo ?t 39 be% hind schedule 6% 40% 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 20017% 2002 2003 2004 2005 2006 2007 20039% 8 2009 2010 2011 2012 2013 20133% 4 2015 ? Currently une 30% 0% mployed or underemployed (11 percent). remember 0% 29% 36% Somewhat lower 80%10% 44% Have Retirement Plan No 14  Re %tirement Plan 37% benefits, cost management, worker and employer attitude 26%  s, policy reform p 34% roposals, and pension assets ? Whether or not Americans EBRI’s member have a re 23% tirem    ship includes a ent savings pla cross-section of n is a key fact pension funds; businesses; trade associations or in their outlook about having an ; policy refrom 1 search orga 3 percnizatio e1n 993 t in 1994 2 22% n;013 1995 and    an 1996 Greenwald d 18 1997 1 percent 998 1999& Associat 2000 in 2001 201 2004), 2es, a 2003 while 2004 Washin 3 2005 6 percent 2006 gton, DC 2007 2008 are -based market 2009 somewhat co 2010 2011 2012 r 2013 n efsear ide 2014nch firm. 2015 t. Twenty-four The 2015 17 percent are not tooSo confi urce:  Em dploye ent th e Bene ey w fit Resill earch h a Insve eno titute and Gr ueen ghw m ald o & ney. AssociateWhil s, 2013e n ?2015 e arly ha Retirem20% ent lf o    Confid fen aclel workers  Survey. (49 percent) were not Aon Hewitt Figure 36, Expected (Worker 1993 1994 1995 s Expectin 1996 1997 g to 1998 1999 Retir 2000e) and A 2001 2002 2003 ctual 2004(Retir 2005 2006 ees20 ) So 07 2008 urces o 2009 2010 f I2011 ncome in Retir 36% 2012 2013 2014 2015 ement ................ 28 Calculate how much money you would need for 48% 25% 5% $250,000 or More 9 11101012111420 1 Retirement Nationwide Financial Figure 3, Retirement Co 20% nfidence Among Workers, by Retirement Plan Ownership: 2013 ?2015 .................................... 8 and fundi and under ng. There is wi standing of employee benefits and labor un despread ions; health recog care prov nition iders and insur that if employee be ers; government org nefits data exist, EBRI kno anizations; and service firms. ws it. 70% 3% 0% 40% ?49% retirement affordable retirement. The 2015 RCS by2% EBRI/Greenwald & Associates finds that 40% the nation’s retirement 21% RCS data collection was funded percent are not at all con by fide grants nt (statistical from a n ly uncha umber of nged pu fr blic om 28 and p private or ercent in gan 20i13 zations and 2 , w 4 p ith s ercent taff tim in 2 e014 dona ). ted by too or not at all confidSo ent o urce:  Employe f having e Benefi eno t Reseu arg chh  In money stitute and G for reen1% w r ald e  & tire  Assoment ciates, 1991 in ? 2 2015 013,  Retir 4 em1 en tperce  Confidenn cet re  Surveport th ys. ese levels of confidence So So Sou u urrrce: ce: ce:        Em Em Employe p pllo oyy64 e ee e e%    Be Be Ben n nefi e effiittt   Re Re Ressse e ea a arrrccch h h   IIn In nssstttitut iittu utte ee   an an and d d   G G Grrreen een eenw w waaallld d d   & & &   A A Asso sso sso ccciiiaaattte eesss,,,   1993 1993 2005 ? ? ?20 20 2015 15 15   Re Re Retttiiirrre e em m me e en n nttt   Co Co Con n nfffiiid d den en enccce ee   Su Su Surv rrvve e eyyysss... A Major A Minor Not a A Major A Minor Not a Eighty ? percent Education of c ex urrent penses (8 1993 wo 1994rkers expect 199perc 5 1996ent). 1997 1 998 So 19cial S 99 2000e20 curity 01 2002 to 2003 be 200 a major 4 2005 2006 20or minor sourc 07 2008 2009 2010 201e 1 of 2012 income 2013 2014 in 2015 retirement, but BMO Retirement Services * Have Retirement Plan deDon't fined as   re kn spoonde w/rntef  oru  sp se oudse having 1%  at least one of the following: IRA, defined contribution plan, or defined benefit  plan . Much lowe28% r Figure 37, Worker Con 10% fidenc No datae . That Social Security Will Continue 10% to Provide Ben 42% efits of at Least Equal Value to 60% Principal Financial Group 1% confidence continues to rebound from the record lows experienced between 2009 and 2013—but this is based EBRI and Greenwaltheir importance to our nation’ d & Associates. RCS Problem Proble materials an m Problemd a list s economy of underPr wob riters may . lem Prob be accessed at lem Problem the EBRI website: iFigure 4, Retir n 2015 (Figure e 1) ment . Confidence Among Workers, by Self-described Lev el of Debt ..................................................... 8 Source:  Employ50% eLess e Be  or n  than ef iMore t Re s9e aho rchurs  Inst ia tu twe e anedk  Greenwald & Associates, 2015 Retirement Conf13% idence Survey. 16% 0% 11% they believe that personal savings 7% will also play a large role. At least two-thirds each say they anticipate receiving Source:  Employee Benefit Research Institute and Greenwald & Associates, 2004 ?2015 Retirement Confidence Surveys. EBRI’s work advances knowledge and understanding of employee benefits and their EBRI delivers a steady stream of invaluable research and anal Figure 8 ysis. Benefits Re 0%ceived Today .......................................................................................................................... 29 Figure 6 31% Financial Engines Source:  Employee Benefit Research Institute and Greenwald & Associates, 1993 ?2015 Retirement Confidence Surveys. ? The increased confidence since 2013 is strongly r Fig eu late red  10 to retireme37% nt plan participation. Among those with a 50% on the increasing optimism of those who indicate th Figurey e 26 and/or their spouse have a retirement plan. 28% www.ebr ? Paying i.org/ soff urveys/rcs non-Vac mortga a tions ge debt (7 percent). Figure 33Prudential Retirement Insurance and An 30% nuity 1993 1994 1995 1996 1997 1998 1999 2000 2001 200Figur Figu 2 2003re e 2004   17 44 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Workers Retirees Source:  Employee Beimportance to nefit Research Institutth e an e nation’s econo d Mathew Greenwald &my  Assoc among policy iates, 2002 ?2015 Retm ireakers, ment Conthe news fidence Surveymedia, and s the public. It retirement income from an employer Don't -spo  Knnsored r ow / Refuse edtirement Figur savin e 4gs plan (74 percent), an IRA (69 percent), and other EBRI publications include in-depth cove 4%rage of key issues and trends; summaries of research Figure 5, Worker Confidence in Having Enough Money to Take Care of Basic Expenses in Retirement .......................... 9 Don't know 31% Retiree Confidence in Having 20%  Enough Money to  27% Worker Confidence in Having Enough Money to  plan, the per 40% centage very confid Ret ent ire incre e Con ased f fidence rom 1 4in perce  Having nt in  2 Enoug 013 to h 2   8 percent in 2015. In contrast, the FINRA Investor Education 1993 1994 19Foundati 95 1996 19Li 97ok 19ne 98 ly 19 99Pe 20r 00ce 20n 01t20a02ge 20 03of 20  Sal 04 20a 05r Company 20y06  at 20 07Whi 2008 20ch 09 Pl 2010a20n1 1 2012 2013 2014 2015 does this by conducting Figur and p e ublishing policy re 1 search, analysis, and special reports on The In additio Retireme Figure fin38, ancial nt co n Ret to cnfidence iestimating their retir o ree Co nseque nfi is str nces denco of an engly r That Soc un e eme late plan nt saving ial d t ne Security od retirem early r s need Wi e etire nt ll C s, plan ment osome workers ntinue partici can to P be pati rh ovide o en, wh avy. Retir and reti Ben ether e rees h fits ees inof at L who a D ave taken C retir e plan, ast Equal e oth ea a rlier t DB er steps to Value plan, han or a to plan pr n ned are epare IRA. So Sou urrce: ce:     Em Employe plWo oyWo ee e  Be Bern nefi kr eTr fke itt  er Re Ree  r ssan n e esa a d rrcCurr chd h    in In In  Ret ssttii ttRet u uen ttee  ian anrtly d dei  r G Gee rreen een   eSa In w wsaa’tvi lld d  eAct   & &ng r   A Ae sso ssos  u cMo ctiiaaa  ttin eelss ,,  Re 1993 ne 2005  Lot ? ?yn 20 2015 i rgfo 15eevi   m Re Rer ttiiRet e rre etm mnye e t n nInsur i tt    r Co Co Ag e n nffm iid de en enea cceennce   Su Surv trve eyyss.. What we do personal savings an finding d invs estments (66 pe and policy develo rcent) pments; . Seventy-three percent timely factsheets expect on hot topics; employment regula to provi r upda dtes e thon legi em with slat a ive and Retirement ConFigur fidence e 41  Among 31%  Workers,  ? The percenta EBRI’ ge of workers s mission is to contribute to, to cTa onfident ke Care about  of Basic havin gExpe enounse gh mo s inn  Ret ey foirr a c eme omf ntor35 ta%ble retirement, at record lows percentage very confidentTa re emplo k mained statisti e Car yee benef e of  its issues; holding educational br Me cally unc dical Expe hangnse ed amo s inn  Ret g tho iefings for EBRI memb irsee witho ment ut a plan (1 ers, congressional and 0 percent in 2013, ? Paying off a 30% mortgage or housing Mo expense ney to s (5  Pay percent  for  Lon ). g-Term Care 9 to 20 hours a week Figure 19 Figure 6, Worker Confidence in Having Enough Money to Take Care of Medical Expenses in Retirement ...................... 9 for retir more likely th Workers r eBene ment. eporfits R an those who t Th ing t ese i eh cei ey or n vclu ed th d Today retire eeir spouse thinki Pa Wo .......................................................................................................................... 30 wh rt nirg c en kie abou p hav r ex a  Con n pecte et t how s money  Wo fidence d or they ul later in d  wo a Disco  in DC plan to say th  uld oc Hanvitinue ng cupy or IR ey ar  Enoug the  Aut A or have e not ir time oh -esc   confi Mo in a anl retir a D deteyiB no   pl to t about enment an   from a havin (63 per current g enou cent of or gh work mone prever ious y for s regulatory developments; comprehensive reference resources on benefit programs and workforce Guardian Life Insurance So Sou urrce: ce:      Employe Employee e  Be Benefi nefitt  Re Resse ea arrcch h  In Inssttiittu utte e  an and d  G Grreen eenw waalld d  & &  A Asso ssocciiaatte essThe Seg ,,  2015 2015  Re Rettiirre em me ean nl G tt  Co Con nrffiioup d den encce e  Su Surrvvey ey.. Figure 30 source of income in retir Sour ecm e:  e Empl nt an oy ee Be d ne55 fit Re pe searrcent ch Institutexpect t e and Greenwaold receiv  & Associate i es, 201 nco 5 Reme from tirement Confi an dence e  Surv mey ployer-s . ponsored traditional The percentage of retir Sou eres ce:  Employe who are very co 200 Wo 8e Berk nefietr  Re  2(E s0e0 ax r9chby p  Innfident t ec st itSe uttea  2 anltf0id-1o  Gde 0rn h een at th  sof wc alribe d  Nee &ey 2  A01 sso ha d 1 cd ia tLev d eed) s, done a 1993 24% e  an ?l22015  01 ofd 2   good job o  Re  Debt Re tiremteinrt201 e  Coe n3 f id(A en f cc eprepari  t Surv uea 201 ysl.)4  ng for r201 etirement 5 rose in federal agency staff, and the news media; and sponsoring public opinion surveys on employee between 2009 and 2013, increased in 2014 and again in 2015. Twenty-two percent are now very confident (up Endnotes 9 percent in 2014, and 12 percent in 2015). 20% How confident are you that you will have enough money to take care of your basic expenses during  How confident are you that you will have enough money to take 25% care of your medical expenses  issue encour (W Ho How sw hen ;   co old and  yo nage  fwe iud e major survey re re n, and to enhance the development tt  iyo  rar eu ,e)To    when Ho yot uwa  tha  in  lyo  tSa teu  yo r e s revin su tt o ed iw re fill  g d(do pu  ?s ha   and blic vyo e uenough  think at  In titudes. v  yo  mo eus  n wi tem lyl  be/ to en  pa atrys e   fo yo Re ru  long )p  ino  pur -te rtrchas e md  ca  ing by re,  an such    insur  as anur nce si ng  a comforta and employer 54 percen are ble more than t of r retireme etirees), Are nt or  yo twi u (a cestimating ho about nd/ e as lik or yo payin uely as r spouse g w muc fthose wit o) r bas curren hitlc iyn  ex h sa com out ving pen e  any of these plans to fo s they es r re , medical tire wou mentl?d e need eac xpenses 26% be h , and mo vernth in l yo confi ng-t reti erm car dent rem (28 percent ee nt ex (4 pens 5 perce es with . nt of a plan Live Comfortably Throughout Their Retirement 26% pension or cash balance plan Suppose yo . In co ur embenefit issues. plntrast t oyer autoom workers, r aticEBRI’s Ed ally increased etirees uc  the ation and Re   are less l percentage of ise k  yo ely to expect arucr hsala Fund ry con (EBRI-ERF) performs tribut to rely o ed to the n  any form of personal the charitable, Figure 7, Worker Confidence in Having InEnough Money t 16% terest in Using o  Pay an Online for Long-Term  Invest Care ment ..................................................   . 10 J.P. Morgan Asset Management Vanguard However, 1 the 2015 Figure 39,RCS Wo in 10 (10 perc rker Con to 37 percent. fidenc en This e t) T report hat Me perInc ctenta h dica o ey mge re don’t e Re Will fell from need to p Contin lace 42 mue save or save epnto etrcent   Provide Rati in o  2 inmore and 006 Bene  Ret to fits of ire 26m perc 6 e at n percent tLeast Equal ent in say they haven’t tho 2008 V aa nlue to d rema Be ine nef d s u itght t seady during your re  yo tire um r re ent tire ? ment? from 13 percent in 2013 and 18 percent in 2014), while 36 percent are somewhat confident. Twe nty-four Ov pr hom oduct ereall,  or   how wi  hom th  co ae  po n health firtio dennt  ca   of arr eeyo  ,yo  sho uu r  sa tha uld vi tnyo  yo gsu  uth  need  (and at beg   ityo  du ins urrin   pr spou govi  yose) duing r  w re  gill tui re ha arm an veet  nt eed eno ?  umo ghn  mo thln y einc y to om  lieve  at    some  10%EBRI meetings present and explore issues with thought leaders from all sectors. Figure 39 17% 17% Figur e 15 workers an vs. 12 percd en47 percent t withoupla t a p n of r  byl an 1% etirees), )  each . Mo  ye R educa ree a an o rt. viHo r e d tiona ees rw ,estimating t  thig h  l, and eAmong h in  doc  yo scientif reua  think se i  hThose e n ic func  am yo cuo  ount of their Social wo n  P fti id urlons of the Instit dov en  letcid  e yo ing u bre  ctow  nate  ributio R en 20 e ute. EBRI sponse Sec n 13 gou   an be rity ben f-ERF odre 2  yo 0 is a tax-ex u 1 e  5 fit o at t ccurr heir empt organizatio ed (plann primared) ily amo n ng Source:  Employee Benefit Research Institute and Greenwald  & Assoc22% iates, 2008 ?2015 Retirement Confidence Surveys. savings or on employment of sound employee benefit pr for their income in 1991 retir 200 emen 0 14% ogr 200 t (Figure 5ams and 20136 0 ). 2014 2015 comfortably throughout youEd r reu tic rea mteint o n ye  an ars?d Advice  Provider statistically thr ? Retiree Received Toda o con ughf 20 idence poin 14. y t................................................................................................................  in A  in the nother havin  futureg 37 ,  a f such per inanc  asc  ag ent ar eially s  80 or e some  85 ecure ?  what co retiremnfi ent, wh dent. That ich hist said, orically te 14 percent nds to of exc reeed work tirees co ...................... 30 ntin er ue to be 1 about it. Overall, how confident are you that you (and your spouse) will have enough money to live  percent are not at all con 21f  hour idenst (statistical  a w 6% eek or more ly unchanged from 28 percent 6% in 2013 and 24 pe9% rcent in 2014). MassMutual F inancial Grou EBRI discregula ontinu p ed rl  y the provides  automatic ico ncrngre eases?s  sional testimony Wells F , ana d rgo briefs p & Co. olicymakers, member organizations, Retirees who retire before Including Ve arg  all y e Co  the n65 most often fide  dif nt feren (nSo ottm   sou inc ewhludin ratces  Co pay for gnf   tha va idelunte  tpr  ofovide m  prima Noe t  di Too yo rycal  u r  Co e  wi sni e de fitdhnc en x  in pe te cor o nses in r  m de No efi tne in  At  dre  All  bene t  Co ire entirem m ffid ite  en pla nt t,n  s) about ent before Don' twha  Knowt/  Ref beco used ming eligible for Figure In the RCS, 8, Retirre ee Confidenc tiree 0% refers to individuals who are retired or Ve Ve er in Having Eno yry  Co  Connfifdideensupported b ntt So Som mewh ewhuat at gh Money y  Co  Co co nf nfintributions d ideenntt No No to tt   Too who ar Too and g Take Car   Co Connffiiddren en ants. e age 6 tt e o No Noftt   At Basic Expenses in Retirem At 5   or older and not employed full time. Al Alll  Co Connffid iden entt Do Donn''tt  Kn Knoow w//RRef efus used ed ent ........................ Worker 10 Working for Pay in Retirement Workers 9%WorkerWo  Con rkfeide rs nHa cevi  Tha ng Sa t Med ved iMo ca 9%ren eW y ill fo  Co r Ret ntiinreume e ton tProvide  retirement a Despite their those with a plan. Among those wi gprofessed con e (40 percent fof work idence in th ers an a thei pla d 53 r preparatio n, the perc peent o rcent ns for fa re ge v tir ree tirem ees). ry con Fe ent fwer i, nearly dent have t incre two a as lk -e ted hirds d from with (64 a 14prof perc peressional fi ent) of worker cent in 20nanc 13 to ial s say comfortably throughout your retirement years? 21% 7% The likelihood of trying to do a retirement savings needs calculation increases with household income, education , and pe 199r3ce199 nta 4g199 e of 5  1yo 99u 6r199  pr7e-199 ret8ire 199 m9ent 200  0inc 200 om 1 e 200  (do 2 200  yo3u 200 think 4 20  yo 05u200  (and 6 200  yo 7 u 200 r spou 8 2009se) 20  1w 0ill201  need 1 201  to 2  201 live 3  2014 2015 not at aconfidence ll confident and lev about In the medi els, has also  to ha tal, ab ving ou a t on employe how done in creased, mu a chgood job  mone wit r ybenefits.  wo hul 37 (statis d yo percent u sa tically u y you ve  (ann ry confi dchan  your sp ged from ouse) dent  (up curr the enfrom tly  15 have 18 perc  in pe saent vin rcent i gswh  ando ex n   201 pressed t 3 and 28 hat per- 100% 100% sound public policy thr Workers with major deough objective bt problem Figure 23Workers with minor debt problem 100% How interested would you say you are in using inve stment education and advice from an online 3%   Medicare using retiree health insura nce through a previous employer (37 percent). Other methods early retirees use to refers to all individuals who are not defined 41% as retirees, regardless of employment status. Retiree s Figure 40, Retiree Confidence That Medicare Will Continue to Provide Benefits of at Least Equal Value to Benefits adviser a they are 28 percent a bout lot in 201 (36 retireme perce 5. In 95% contr nt pla nt) o Be a nnin rnefits a litt st, the g 2% l(35 e    of perce (2 perc  8 atpercent  nLeas ent of taget very co  ) work E behi qual nd ers and 2  nfid Va wh lent r uen e to it come 9 e main  perce Bened statistical e s to pla nft of its  retire Rece nnin es), ived lg y uncha and savin calculat  Tod nged a aye gd ho for m retirem w muc ong those he th nt. w ey Tithout a h would e 95% 9%   comfortably in retirement /is your currLess ent  than hous ehold 5%  income4% )?  9% In Figure anoth 9, eRetir r expectations ga ee Confidenc 95% investm p, ee in Having Eno nthe RCS has ts, not including consistently fo th ue gh Money  value of youFigur to r pr und that Take Car imary e 21  residence work e of  or ers are Medical Expenses in Retirem  defined far  bene more likely to fit plan assets?  expect to ent .................... work for pay 11 financial assets. Workers r Source:  e Em porting t ployee Benefh it Re ey or search  In their spo stitute and Gru een se h wald & a  A ve a ssociateDC, s, 1993DB, ?2015 or IRA  Ret14% ireme   nt pl  Conan a fidencer  Su e twice as rveys. likely as those who do Debt ? The incre ased confi EBR Not I issu  includ d es einngpre ce si  Sociss alnce  Se rele cu201 ritas y or 3 e  em s is strongly r on ne ployer-pr wsworthy oFi vided gur elate  mo ed  n36 e developm to retirem y,   have you (a e ents, nd nt /oplan r yo and i u partic r spouse) s among ipat  perion. Amon sonthe mo ally  st g th widely qu ose with a oted sentiment in 2 cent in013 201 ) (Figure 1 4).ad Th vice e perce  pr Veroy2v  Co ). ider? Wor n fin deta nkters ge not  wi So 38% tm he  no wat hat  deb  Co all c 13 nft i% probl de   o ntnfident was 14 perc emNot Too Confident Notent (st  At All Confa iden tistically t Don't un Know c/h Ref anged used from 14 percent in 90%38% 90% EBRI Issue Briefs is a monthly 8% periodical with in-depth evaluation of employee benefit issues 90% Types of Debt Owned by Worker14% s and     Retirees pay for their retirement health expenses include paying privately (18 percent), health insurance through their spouse 5% 22%   Workers Received Today ................................................................................................................ 21%   14%   Very interested 65% ...................... 31 Whil 2 e responses to a resear question asking the ch and education. 36% age at which workers expect to retire shows little change from one year to likely n perce plan (10 ntage ee perc d for sa eying t retirem nt in85% 2 h013, ey ar sav ent ed 9  an he e ybehi perce alth e  mone nd schedu yn x  fo t in penses r re 2 tire 01 mle in 4 (25 e, an nt? perce    th 7% Th d 64% e   e 2 12 se sa per n 0v t of 1ing 5c sRC ent i  workers co 64% u S is ldn  in 2cl lower 0ud 1 ae 5 n  mo ). d 37 perc t Additio h ne an i y yon u  pe n 201 ent ally, rson 1 o ally (70 fw retirees  o pu rkers witho tperc  into ent), a),   an b 23% d prepared uu t a t hi plan gher are than a for thr the m ee al, 85% in retirement than r sou 100% 85%etirees rces o ar n e to e 35% mployee have act be 35% un ally work efits by all media. ed. 16%  The percentage of workers planning to wor 9% k for pay in For example, in 2014 just 3 Ave How Lesr  sco a  tha g np fe nid e  $  e rcent of workers who described th Pe 1n,0t00  ar rcee  yonut  $1,00 th ag ate  th 0  ?of e$9  Me ,9  Incom 9dic 9 are 2% sys $10,000 et eNee m will ?$2d  4, ceir debt oing 99 n9tinue  to  to $  be 2as a major problem said they  5pr ,0ov 0  Sa 06% i ?d$e   9v  9, bene e99d9 ffo its rof $ Wo 1  at 00  le ,00ar0sk t  or  e eq  Mo rual s reto    were very confident not have such plan, t a he per planc to hav entage very e tried a 62 c % and trends Don' o calc nfident t kno ulw ation 62% 27/R , as increased from 14 %e   fu well as s(60 perc ed 5% crit ent vs. 23 ?9% ical anal percen ysper es of t i cent). n 20 emplo 13 In to yee b addit 28e p nef ion, marri eit rce polici nt in e ed workers (com s2015. and pro 23% In c pos oals ntrast, the . EBRI pared Expected (Workers Expecting to Retire) and Actual (Ret20ir15 ees24)2015  % 2013 and 17 p61 ercent % 61 in % 2014). 22% 56% 61% Our 80% 80% 60% 38% 60%    Americans ar Figure 10, Ret ei less like ree Co 95% 80% nfi ly no denc w tha e8% in    Havin n in th ge En early years o ough Money t f this dec o Pay for Lon ade to descri g-Term be Care their .................................................. 11 debt as Retiree a sproblem. Thirteen (16 percent), government h retirement ealth  plan at insuran  work.Lece ss th (1 an3 pe  50%rcent), and individually purc 10%  59% hased health insurance (10 percent). 32% value to the benefits 58% received by retirees today? 18% 58% written percentage m another, t times as likely to say th financi he lo e ang-t asured 10 years l plan erm tren for r ey ar eti d shows rement e not ago (5 at al that t (16 5 pe l co percent o h nfident rcent e age at infabout 200 workers whi 5). c their h work One and 22 perc fina -qua ers pl ncial rter (25 a security n to r ent of retir percent) r etire has in reti ees crept rement (14 percent with e). port t Nearly uh pey ar war 2 in de on track over time. 10 of both (down In a pl woan rkers vs. EBRI 75%CHECK OUT EBRI’S WEBSITE! 31% direct 31%s members and other constituencies to the informatio 22%   57 n %they need an 57% d undertakes new 90% 75% Notes is a monthly 17% p  eriodical providing current information on a variety Have 29% No of employee benefit retirement now stan 75%ds at 67 percent, compared with j4% ust 23 percent 30% of retirees who report they worked for pay in with about having unmarried wo enough mo rkers) an Live ney t  30% Com d ret o live co fort irement s ably mfo rin ta ably thro  vers (com Re 30%19 ti%re   ugho me par n ut te,re d  by tirement, compared with 29 perc with  Ret nonsa irem ve ers) more oft nt Confidence en report  an ent of workers who indicated d try Ag 24 ine% g to do a calculation. Figure 41, perce Wor nk tage er (E ve xpect ry confi ation of Needed) and Ret dent remained statistiically unc ree (Actual) Incom hanged amo e Replac ng thoement Ratio se without a plan in Retir (1e 0 ment perce ................. nt in 2013, 31 Sources of Income in Retire 18%m    ent 70% Somewhat interested29% Do you (and your spouse) currently have 10% any  ?of14  the %  following types of debt? 24% percent of wor Table of Contents kers (down 85% 70% * Have Ret fro iremen m t Plan 20 percent  defined as responde in nt 2014) and 9 perc  or spouse having at least one of th ent o e followfin r g: e IRA, ti rees defined co(do ntribut w ion n plfr an,om 16 percent  or defined benefit  plan.  ) report their level 70% Very in200 teres4ted2010 2011 2012 2013 2014 2015 research on an ongoi topics. ng EBRIef basis. is a week 25%Figu   8% ly rou re 12 ndup of EBRI research and Pl insights, as well an* Plan as updates on particular, the percentage of workers who expect to Respondentretire aft Resp eo r a nde gnt e 65  and/o has r Spo inucreas se ed, from 11 percent in 1991, to and r from 3 44 perc etire 7ent perc eswit (e18 n ht in out a perc 65% 2005 pla ent a ), n22 ) (Fig n a% d 2 n   d 0 11 ure perc pe 3). rcent ent) have not describe take them n any o selves as ahe f these steps. Amon ad of sche 22%dule    g workers, t (up from 7 h 34% pe e lircent i kelihood of n 200 h 5) aving Figure publications 11, Worker Confidenc Vere y  in F Confideinancial Preparat nt Somewhat Confidention Not fo r Retir Too Confide enment t No .......................................................... t At All Confident Don't Know/Refused ........... 12 retirement (Fi Confidence ? Worker thg at Social ure confi 65% 80% 35). dence Sec uin t rity wil 19% h  e affordabi l continulity of v e to provi arious aspe de beneficts ts th of r at a etirem re at eleast e nt also rebo qual to to unded. In day’s v part alue icula is hi rgher , the among debt was no t a prob 65% lem. On the other hand, 49 percent o 36%   f workers with a major debt problem were not at all confident about 9 percent in 2014, and 12 percent 50% in  up 18 %to 20    70% 15). 2% 19%  45%   Retirees draw down money from their savings and investments to pay for day-to-day expenses (24 19% percent), major 60% About Source:   wha Emplto yper ee Be cen neftia t Re ges eof arc  yo h Inusrti tto uteta  anl dho  Gru een sewhaoldld  &  inc Assoocm iatee sdo , 2015  yo  Re u tthi iremnekn  yo t Coun f(and idence  yo  Surv ure ysp . ouse) need to  75%EBRI has earned widespr Do you expect41  will % surve     be/Iy s s, studi the folloes, wing 39% litig  aead r  maj ation or sour ,egar legce isl  of d as ation and r  income, a mi egul nora  so tion affe urce of in ctcing e ome,m  orplo  noy t e a 15  e% benefit plans, while of debt is a major probl 60% 60% em. An additional 38 percent of workers and 22 percent of retirees 28% describe it as a minor Figure 42, Number o EBRI f Hours maintains an a Week S d panaly ent Providing Unpaid Ca zes the mo 15% 38% ?st 19% comp re, Amo rehensi nve g Work databa ers se and Retirees of 401(k)- Pro type v iding Car programe s ........ in the 32 Source:  Employee Benefit Research Institute and18  G% reen    wald & Associates, 2015 Retirement Co11% nfidence Survey. 38% 100% Retiree Confidence in Financial 21% Preparation for Retirement undert (Fi 19 Introductio gperc ure 1 aent ken 4). n in ea .................................................................................................................. 200 ch of 0, these 24 Le perc ss steps e  than ent i  $1, n0 x 2 0ce 000 pt co 5, 3nsideratio 3 percent in n of 2 010, how to an occu d 36 py time percent in t in re htire e 2ment in 015 RCS ........................................ 5 crease (Figus with re 32). age. In Additio fact, nally,   The methods of obta 55% ining the estimate of retirement 27% savi 28% ngs n 28 e% eds are 31% quit 29% e vari 22%  3 ed. 5% Workers o 12% 6f1ten % guess at how much 70% 46% workers a perce ges n45 a tagen 55% 55% of d older t workers w han amon ho 35No are very %tg yo  too int unger confi ereste work ddenters, and in their a retir bility to ees are more likel pay for basicy than expens worker es increase s overall o d (37 f a perc ny age ent, having enough money fo save r a fi  eachnancially secur  year from now un et retirement, il you expect to co  rempared with 16 percent o tire so you can17%  live    comfortably fthr wo oughout rkers witho  your  ut a debt problem. source of income in your (andA  yo mort ur sp gaoguese’s) retirement?  EBRI’s website is easy to use and packe EBRI’s Blog supplements our regular publications d with useful information! Look for , offering commentar 2 y on questions expenses such as the purchase of a car or major appliance (23 percent), health expenses (16 perc 17ent) an % d travel Figure 12, Retiree Co worl 65% 50% nfidenc d. Its co e in F mputer inancial Preparat simulation analy ion fo se r Retir s on So 15%ement cial ......................................................... Security reform and retirement income a ............ 12 dequacy problem. Forty-nine percent of workers say debt is not a problem for them, an 23% incr 23% ease of 7 percentage points from the The RCS has consistently fou 50% 50% nd a relations78% hip between the level of debt and retirement confidence. Just 6 percent of 90% 70% up to 85% Almost all ret 1 in 10 in the ir201 ees who 5 R an or re CS tiworked re (1 mganization that “tells it like it is 0 ent perce ?  for npay i t) say t n rh eey n tirement ever in pla tn h e to r 2014 etire. RCS ,” Neg vertheless, th ave a positivWor e me e reason for doing kers dian (midpoint so, saying ) age at which they workers curr they will neeently age d to accumulat 55 aned ol (39 perc der are m ent)o , rather re likely to r t20% han do  or e po mo ing rt havi re a systemat ng done many ic retir 75%11% e of ment these tasks than needs calculat have ion. T curre wenty nt -six ? Retiree con 60% 45% fidence in having a financially secure retirem ent, which historically tends to exceed worker to be confiden up from 25 pe t about 45% the fut rcent inu 201 re val 3 and 29 rece ue o ived from f So p cial S ercen news e Ut nde curity in 20 reporters r 26% 45 bene 14). , p 45 Th fits. o  or lic 22 e percenta  Ol % y Si de m xte rakers en perce , an ges d others 26% of nt workers of. The retirees say t Ewho are very co BRI Databook hey are very on Employee nfident in Figure 43, Worker and Retir 45% ee Expectat73% ion of Living to Ages 85 and 95 12%................................................................... 33 Retirement Confidence ............................................................................................................................... 72% 72% 26% ............ 6  3 $1,000 ?$9,999 49% 15 14 19 16 17 11 10 13 (13 percent). Whil are e ma uni ny m que. ay have planned for these 71%withdrawals, more than one-third (36 38% percent) of retirees find 40% 42%   70% 46% 38%    these special features: 55% 23%  69% Major Sour15% ce 69% Minor Source 69% 42 perc The last time t ent measured last he question wa 40% 40% year 38% s asked in 2 and 12 perc 00entage points fr 3, the percenta 68% ges om the spending 37 pmo ercent re than eigh in 20 68%11t ho . Two urs plannin -thirds (67 g fo perc r retirement were ent) of workers who describe th How eir  codebt nfidenSo as a t ar mee wh yo major pro uat  th  inatte  yo reust Ca  did erd b  loans  lem a good say they ar 33%  job     of preparing e ver  financially 24y% confi  fo drent  you about havin r retireme24% nt? g enough money to live Not at all interested 67% did Saving so be s and cause they Investment 80 enj % oye 36% d wo   s rking Benefits (83 perce is a sta ntistic t) or al r wa ented ferenc to s e work on em tay 66%active an ploye d e ben involved e66% fit prog 66% (7rams and work force-related 9 percent). However, they retirees (Figur workers expec Figure 13, Perc e tentage S to retir 29). e phas ending 8 or Mo remained strab e Hours Planning le at 65 for mosfor t of this Various tim Events e 17% . .................................................... Retirees ...... 13 perce Workers nt in confidence partic dicate they ipatin lev 50% 35%g i di enls, also inc d t a defined co heir owre n es ased, ntribut timate an with ion plan 37 d 22 perce pe wer rc n et very ent say t asked w confident h hey at t asked hey wou (up a f from 18 inan ld do c if ial a percent they c dviser. O h in an20 ged ther met 13 j an obsd 2 an hods 7 d th percent of eir ne in w 64% confident their a abou bt the ility35% 35% to fut pay for ure value o medic f Soc Al al ex read ial pe y Security atnses (1  plan/leg8 percent, al be  ma nef xim its (Figur um6% up from 1 e 38). 2 perce 42% nt in    2011 70%42 ) an % d long-term care expenses based on the facts. As the Bylaws state: 12% 4% 12% 34 38% % 74% 7% 19% the level of their savings and investments is low 85% up to 95% er th11% an expected at t 11% 29% his point    in their retirement. Four in 10 (39 30% 45% 43%   retirees Figure Overall Retirement Confidence 44, su Wo rveyrker and Retir ed report thee y do e Innot hav terest in ................................................................................................. e Longevity I a problem wit nsurance Wo hr d ker esbt, ................................................................. up s 31% harply from th 49% e 55 perc 80%ent who s ........................... 6 aid the s .............. 33 ame in   approximately the same (36 p Longevity comfortably throughout 30% 30% $10, retir 000 Vee e 51% r ? yrcent for ment, com  $24, Con   fid999 eissue nt workers and 21 p sSo . p me awha red t Cowith nfid1 en 414t 3 %  5 No pe e1 rcent for retirees). t 2 To rcent o o Confid17%88 enft worke Not Atr  Als who l Co1 nfi2dentindicat795 Don'te debt  Know/Refus is not ed a problem. On the 5% 39% 70% 37% said that financial reasons also played a 68% roSo le in cial  that Securi de ty68% cision, such 9% as wa 9% nting money to buy extras 9% (54 percent), obtainin employer g t auto his estimate in matically enrol 40% cludle ed them using an into online the calcu workplac 67%latoe re r (10 tirem perc eent nt pl ), reading or an, deferring he3 percent aring how m or 6 perc uch is ent o needfe t dh (10 eir per- • 201 EBRI’s entire library of re 4). The 25% percentage not 66% at all co search publications starts at Crednfi it card dent  debt was 14 percent (statistically the ma in W unchan eb page. Click on ged from 14 percent EBRI in 2013 and One might (14 ex perce pect t nt, u hat th p from e in 9 creas perc e i ent i n ren ti 2 rement co 011) are slowly nfi 1% d8% ence inc note hing d a upward. bove wou ld be 8% based on a 14 8%% n improvement in 25% 25% 65% Retirees 63% 41%   27% 90% EBRI makes information freely available to all. 12% 48%   7% 7% 27% 7% perce Figure nt) re 14, Wo porrker Assessment of Progr t the level is about as Alread Imy medi ha exve pec eate  ss this tly/ in ed, a  product be Planning a fore nd 20  first incr pe nercent d S ase aving for fin2% d it is Retirement higher tha ................................................ n expected (Figur 36%e 46). .... 14 35% 100% 11% 20%“In all its activities, the Institute shall 6% The actual 2014, but t reti hat perc rement enta age reported by ge w60% as still below retir th ees has c e 69 perc hent anged in 2ev 00 en 5 more (Figure 2 slowly. In 2). Among 1991, only workers, the 8 perc most frequentl ent of retireesy said Whil other ha e investment e nd, 56 percent 20% 20% ducatio of workers with n and a 40% d   vice fro a major debt pr m an online pr oble ov5% ider co m are uld be a va not at all 34% con   luable fident abo and au ffor t havi Wor dable k ners g enough mon tool for many, ey for a 4 59% 2% 5% 5% need Worker ing confi mone dence y to make 60 in M % edi 58% en cd are’s s meet curr (5 ent 2 pe lercent), vel of ben a decr efitsease beinin g m the aint val ained in ue of th the eir sav future is ings or also lo invest w m (Medicare ents (38 pe is the rcent), Confidence in Other Fina 57% ncial Aspects of Retirement ........................................................................... 44% ................. 7  cent), Most workers salary into t asking someone ot 17 perc he pla and r ent in 201 n 30% . At a e 95% tirees expect $25, 3 percent her 4). 000 than ?$49, to liv 999 a deferra financ 95% e a  up ti least u l rate, a  to l adviser  105 half %ntil age 8 (6 (50 percent perc 5, but o ent ), an ) of participants nly d fia minori lling outty a thin report they works they are at ksheet or woul ford raise t mleast somewh (6 perce heir n t). at Figure These fi 45, Issue Briefs ndings Ho EBRI w Retiree Experienc are in line with other estimates of assets 15% assume and s EBRI Notes a publi e With Retire c service re for our in-depth and 13 ment spo11 Expenses Matches nsi owned by Americ bility 6 to 9988 make nonpartisan pe its finding Wit an families. Estimates of data h Expectat s co riodicals. mpletely ions 1........................................ 1 acce5 ssi from the 2013 ble at www.ebri.org 34 retirement preparations, but this 15% does not appear to be the case for 26% ma7% ny wo    23% rkers. The percenta 14ge of workers % who 15% 6% 9%   18%   35% Colleg Em e plo or syteudent r-spon  lo soans red  Wor4% kers 46% 28% 74% 25% Contact EBRI Publications, (2 40% 02) 659-0670; fax publication orders to (202) 775-6312. 10%90% 30%   31% reported types of debt are mortgages Depends (46  on cpercent), ircumstance car l s/finao nce ans s (38 percent), and credit card debt (37 percent). Retirees retirees they retir financially sec in ed after age paru ticular a re r10% etireme p 65. pear Th nt, compare resistant to th is percNot entage i  too d  wi inte i th 1 esr 14 edstea o 4 ed perc perc f usin ent ent g it. iof work n3% 2 While 015 (statistically ers just 4 wit 1%6% hout a perce de ent o quival bt fpr workers re eoblem nt with( the F Ret ig por iure ree 16 perc ts bei 4).n g very ent measured 10% 22% 2%   25 31% % Figure 15, Workers Having 50% Saved Money for Retir 24%  ement......................................................................................... 14 or keepin federal ? healt Sixty-seven g he halth insur care insur function strictly in an objective and percent o ance or oth ance pro f workers report gram er ben for t efits (34 percen he elderly an they or their d disa t). spous bled). J e have ust 8 saved f percent o or retirem f workers are v ent (statistically e ery confident t quivalen ht to at likely to contributio reach n. Another 39 — age so that all deci 20% 95. Amon percent woul g wo sio rkers, 35 ns that d le t relate to emp percent say th the 3 percenRe t loyee tideferral ey are rees ben very l stan 21% efits, 15% id. Just kely to l   20% 19% wheth    40% 4 ier ve to perc made ent each age in Cong 85 an woul d 40 ress d reduc percent say th or bo e th ard e room ey are s or 5%85% Don't know/Refused Survey reported th of Co ey nsumer Finances and/or their s 17%p   (ouse SCF) ( had saved re cotin reduct mented by the U.  safor r vings e pltirem an S.e Federal Reserve B nt increased briefoly in ard) 2 find that the median 009 (to 75 percent), b amo uunt o t decli f fina nedncial to Those reporting the 5% level of their sa Subscriptions to vings and inve EBRI stme Issue Bri nts is loewe fs are included r tha28 10% n% ex    pecte as part of d think it is EBRI membership, or as part of primarily because they a have Workers ....................................................................................................................... 5% 5% 13%   ................................. 7 18%   38% 16% 27%   15% $50,000 ?$99,999 76 3%11 897 10 14 5 Figure 46, How Retiree Experience With Level o 16%   f Savings and Investments Matches 21% With Expectations ...................... 35 0%80% 105% or more most in 20 Orders/ 14 often re ) (Figur port e 33 havi ). Tng he me a mortgage dian (mi (23 dpoin perce t) agn e a t),t cre whd ic ith card de retirees r bt e (2 port they r 7 percente ), tired has home eq remain uity line ed at of cr age 62 edit (17 per- intereste Considerid i ng th n ob e aggressive taini 0%ng invest savings tar ment educatio get perce n and a ntages dvice a c online, knowle 2 dg 2 per ed earlier, cent say th it is no ey t surprisin are somew gh tat hat most workers interested. ? Worker families’ confi 0%dence home in t s, 21% h are   Debt e affordabi based  from hea on the highe lity of v lth expenarious aspects ses st quality, of r most depe etirement nda has also rebou ble informatio nded. In n. EBRI’s Web particular, th sitee posts the Me • dicar 64 perc Visit EBRI’s blog. e syent in 201 stem will 40% con 4), taltho inue to provi ugh nearly de bene 8 in 10 (7 22 fits of % Do   n't8 perc   a kn6% to le w    ast e ent) q full ua-time l value to workers 12 the % be say nefits r that they eceive 1022 or %% dt by r heir e spouse have tirees today, 10% 2001 2002 200$199 annual sub 3 2004 2005 200 scription 6 20073% to 200 EB 8 RI Not 2009 e201 s and 0 201 EBRI Issue 1 2012 20Brie 13 fs 201 . Change of 4 2015 Address: EBRI, somewhat l contributioni o kely to do r stop the contribution alto so. Similarly, 36 per gether. At cent of reti a 6 rees percent under th deferra e agl rate, e of 8 3 513% e in x   pect 10 (30 percent) to live until t would raise th hat age, and a e nother (liquid countable assets, 75%1993 i. Bef e. 1994 o,r sto e 1995 60cks, 1996 bo 199nds, 7 19986 mo 01999 ?64 ney, 2000 individual 2001 2002 200365 acco 2004 unt retirement plans, 2005 2006 14%2007 66 2008 ?69 2009 2010 etc. 2011 )2 70 012 assets for  or 2013  older 2014 American fami 2015 lies was been 66 perc unent able in to 2012 a add to t nd virtu heir savings an ally remain d i s at nv that l estments (27 evel 24% (67 Wo pe rperc kerrc s ent ent 16% ), they have in 2015) (Fi 57%g withdr ure 1awn 5). Tmo he per re tc hent an e age o xpecft r ee dtire (19 es pe r- unbiased manner and not as an advocate 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 73% 2013 2014 2015 Figure 16, Retirees Having 1993 Ver 1994S y a 1995 Conf ved Mo 1996 ident 199ney 7 1998for Retir S1999 omew 2000 hate 2001  Co ment n200 fid2e ......................................................................... n 2003 t 2004No 2005 t Too 2006  Co20 n07 fide 2008 nt 2009 2010 Not at 2011  All2 012 Con2013 fiden 2014 t 2015 ................ 15 5% Employment A fina cent), Confidence Retirees ncial or car rati l ...................................................................................................................... o in Other Financial Aspects of Retirement o an (17 percent) nale 70% for working (Figu in re re tirem 23). e nt is even more important to workers. Among those expecting to .................................. 9 work for   Nevert througho heless, ut thi all the majority o s time. resea rch finding f work s, ers are publications, not too an (26 d n percen ews alert t) or snot a . EBRI also exte t all (48 perc nds ent) its e interested. ducation Among retir and public e es, service (65 perce perce nt) say they ntage of nee workers w $100 d, 000 $25 ?$24 0,0 ho 9, 1100 13th St. NW, Suite 878, Washington, 00 or 999 are very more saved 17 confi15 dent to in Re retire 1 their 2 tirees comfort a 12 8% bility to 17%10 ably pay DC, 20005-4051, (202) 659-0670; fax number, (Fi fo 11 gr basic ure 10 28 ex ). pens 15 es has in 5 creased (37 per- 30% 5% 25% while 35done perc so. Still, ent are 0% somew a sizable hat con percentage of fident in the wor system. kers report Twe nty-six they have pe 15% rcent ar virtually no savi e not at all ngs confi and dinvestmen ent that Mts. Among edicare’s contributio 36 percent t n a hin nd k it some 44 percent wha would conti t likely they nwi uell do the so. On contribu thtion e other at 6 ha perc nd, ent. Two i just 8 percent n 10 (20 percent) of workers an would reduc d 9 percente of the Source:  Employee20%  Benefit Research Institute and Greenwald & Associates, 1993 ?2015 Retirement Confidence Surveys. $17,500 in 201 having saved f Subscriptions 3. For those families owning or retirem 65%Source: ent   Emclimbe ployee BenDon d slo efit Re 't skn ew arocly an individual hw  I from /nR stef itutues  an e59 d d Gr perc eenw aacco ldent i  & A unt retirem sson cia 2 tes0 , 1993 00 to ?20 ent plan, the m 15 74  Ret percent irement 48 Con% fi in denec edian fina 201  Surve1 ys.but ncial asset level was now stands at 63 percent cent), investment performance has A home be  eq en uity w  lionrse than e of credit expected (12 percent), or they paid off debt or a mortgage So So So Sou u u urrrrce: ce: ce: ce:           Em Em Employe Employe p pllo oyye ee e e e    Be Be Be Ben n nefi nefi e effiitttt    Re Re Re Resssse e e ea a a arrrrcccch h h h    IIn In In nssssttttitut iiitttu u uttte ee e    an an an and d d d    G G G Grrrreen een een eenw w w waaaalllld d d d    & & & &    A A A Asso sso sso ssocccciiiiaaaatttte ee essss,,,,    2000 2015 2001 1991 ?   ? ?Re 20 2015 2015 t15 ire   m Re Re Reetttniiirrrte e e  Co m m me e enn n nfitttd    Co Co Co enn cn nefffiii d d dSurv en en enccceee ey    Su Su Surv . rrvve e eyyysss.. Workers 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 17% 2007 2008 2009 2010 2011 2012 2013 2014 2015 role to improving Ameri 18% (202) 775-6312 cans’ financial ; e-mail: knowle subs dge criptions@ebr through its a i.o 19% rg w ardMe -win mbe ning rship Information: public service cam Inquiries paign or opponent of any position.” Source:  Employee Benefit Research Institute and Greenwald & Associates, 2015 Retirement Confidence Survey. pay i•n reEBRI’s reliable health and retirem tirement in the 60% 2014 RCS, 81 percent inednt surveys ar icated they woul e just a click away through the topic boxes at d need the money to make ends meet, and three- just 1 in Figure 17, 10 Wo ind rkers Currently Saving Money for Retirem icates any interest in Not onli  at allne  inter de 17% ested livery of inevnt es...................................................................... tment education and advice. Instead, three-quart .............. 15 ers cent, up from 25 percent in 2013 and 29 percent in 2014). The percentages of workers who are very confident benefits RCS will c workers providin ontinue 20% to equag this l or exce type o ed tfh in e forma benefitts r ion, 2 eceived by 8 percen be t say they neficiari ha es toda ve less tha y (Figu nr e $1 39 ,00 ). 0 , though those who Preparing for Retirement Source: ......................................................................................................   Employee Benefit Research Institute and GreenwWo ald &rk  Aer ssosciates, 2015 28%  Retirement Con41% 33% fidence Survey. ................................ 11  contributio retirees feel th n aney are very l d 3 percent would ikely to l ® stop ive it altogeth until age 95 a er (Fi n28% d o gure ne-quarter 25). say it is somewha69 t likely % (25 35% percent of workers $103,010, while for the families without su $250,000 or More ch plans it was 15 12 $1,500. (Source: unpublished 17 15 17 17 19 estimates from the SCF by th 30 6 e (12 (Fig perce ure 16 n). t). Those sayin 55% g their level of savings and investments is higher than expected attribute it to better-than- Individual reregarding tirement acc EBRI ount  membership an or IRA 5% d/or contributions to EBRI-ERF should be directed to EBRI 73% Only one-quar T his difference Cter (26 percen h be oosetoSave tween worke t) of em and rs’ ex the p ployed wo ected companio retire rkers say men n site t ag ww they e w.c and retir think tha hooset ees’ actual osav 41% t it is    e.o even somewhat rg age o f retireRe ment likely tiree suggests that a s that they would be As foun Workers d in prior iterations of the RCS, workers who have done a retirement savings needs calculation tend to report A loan from19%  a workplace retirement plan 16% 26% quarters (74 percent) wanted to keep health insurance o Rerti rees other benefits. Nevert 42%heless, workers gave other reasons as (73 percent) a the top of the page. re not 50% at all interested and 16 percent are 34 not too i %   nterested (Figure 30). in their ability So to pay urce:  Empfor m loyee Beneedical fit Resea ex rch Ipenses n40% stitut   e and (18  Greenwperc ald & Aen ssoct, up from 12 pe iates, 1993 ?2015 Retiremenrcent t Confidenicn e  201 Surveys1) . and long-t erm care 10% 1% indicate they and their spouse do not have a retirement plan, such as an IRA, DC or DB plan, are far more likely and 24 percent of retirees). Source:  Employe One-th e Benefi ird eac t Researchh  In state it stitute and G is reenno waldt at all  & Associa like tes, 2015 ly t  Reh tirat they ement Conf wi idencll r e Sue rvach a ey. ge 95 (Figure 43). President Dallas Salisbury at the above address, (202) 659-0670; e-mail: salisbury@ebri.org Employee Benefit Research Institute, 2015). expected inv Figure 18, Tot esatment pe l Savings and Investments 45% rformance (34 perc Reported ent), their by Workers ability to aAmo dd to ng Those Prov their savings iding (20 perc a Res ent), ponse withdra ........................ wing less than 16 Retirement P lannin *Have g ...............................................................................................................................  Retirement Plan defined as respondent or spouse having at least one  of the following: IRA, defined contribution plan, or defined benefit37   pl% an.  .......... 11  unable to work for six19 mont 94 1995hs or lon 1996 1997 19g 98er 19 due to 99 2000 20 an 01 20illn 02 20 ess or di 03 2004 2005 sa 20bility. 06 2007 Most say they 2008 2009 2010 2011 20 think it 12 2013 20 is not 14 2015 too (34 percent) or considerable gap exists between workers’ expectations and ret irees’ experience. Just 9 percent of workers say they plan higher savings goals than do workers who have not done the calculation. In this year’s RCS, 29 percent of workers who well, Worker saying th confidence ey wa about nt to sta the f y active a uture value nd in of Me volved dicare (90 benef perc4% ent), its is hi and e ghn er amon joy workin g thos g. e ages 45 and older, and retirees If th Worker eir confi emplo dy ence er were to about im their a plement auto bility to pay for -escalation, i basic ex n 5% cpe reasing nses in the percentage of sa 23 r%etirement co 43%5%ntinues lary contri to reboun bute 8% d from the d to the lo plaws n by expenses (14 40% percent, up from 9 percent in 2011 Wo) are rkers slowly inching upward.66% Moreover, not than those wh all workers 0% o have a who have saved for r plan Home to report  improvem this l ente  lo tirem ao nw lev s ent are el of sa curre vings ntly (64 perc saving fo ent vs. 9 perc r this purpose. S ent) an ixty-one d far lperc ess likely to ent of Similarly, the percentage of retirees who are very confident about having enough money to cover medical expenses has Retirees Other personal savings and investments exp Managing ected (14Finances in percent), and R paying etirement off a debt or a mortgage 4%(12 percent). One r EBRI is sup eason for the ga ported b So p urbet ce:  Employe ween y o e  work Be rganizations from all industries and sectors that appreciate the value of nefit Reers sear’c ex h Instpectatio itute and Green ns w aand r ld & Assoe citire ates, 2004 es’ ?e 2015 xperi  Retirence ement Co is nfi m dencaeny America  Surveys. ns find themselves 35%So So uur rce: ce:     Employe Employeee  Be  Benefi neftit  Re  Resseeaarrcchh   In Inssttiittuuttee  an andd  G Grreen eenw waalldd  & &  A Asso ssocciiaattes, es,19%   1994 2015 ?  Re 201 tir5e  25 m Ree% tn ire t m Coennftid  Co enncfeid  Su enrcveey  Surv . eys. not at a to retire befor • ll Need a number? (36 perce e age n60, t) likely 1993 com 1994 Check out the they p19 ared 95 1996 woul with 1997d 19 36 be una 98 percent of reti 1999 EBR 2000 ble to 2I Databook on Employee Benefits. 001 2002 wRe ork fo 2003 ti rees who repo rees 2004 r six mo 2005 2006nths or more for such a 2007 rt they 2008 2009 44% retired 2010 2011 that early. 2012 2013 reas 2014 Si on. In 2015 xteen fact, o percent o nly half f have Older workers done a c also ten alculation, d to co r mpared w eport higher ith 1 a2 m percent ounts of of assets those w . Seventy ho hav-e seven not, estimat percent eof work they ne ers ages 25 ed to accumul –34 hav ate aet total least are more likel Figure Savings a Editorial Bo 19, Tot nd I y than ard: al Savings and Investments n vestments........................................................................................................ Dallas L worker . Salisbur s overall o y, publisher f an ; Stephen Blakely y age gro Reported uby p t , editor o Retirees Among Those Providing a be .confident. Even so, just 12 Any views expressed in this publicat percent ion and th Resp of retirees are v ons ose o e .......................... 13 ........................ f the authors sho ery uld 16  measured In recent y in ear 2s, a num 013. Thirty-se ber ofv organizat en percenion t of s workers a have develo re ped calc now very ulator confi s to estimate dent that they how mu will have ch a enou certain gh mon levele of y to savings pay for 1 percent Workers expr eace hss a moderat year, many e plan level partic of inte ipan re ts indicate t st in purchasin hey wou g an insura ld be lin kely to l ce prodeuct t th wh eir contri en they bution retire continue that begi to ns pro escalate to viding increase from the lo30% ws observed in 2011. Almost 2 in 10 workers are very confident about being able to pay for medical workers in report havin the 2015 RCS g saved report that th at least $100, ey a 0n 00 d/or (3 p their spouse ercent vs. 35 are currently saving for percent). retirement (up from 57 percent in continued to increase, from 24 percent in 2013 to 39 percent this year. The 17% percentage very confident about paying for Preparing for Retirement unbiased, reliable information on employee benefits. Visit www.ebri.org/about/join/ for more. retirin Retirees, not be g u who n ascribed to the officers, expectedly. are alre Th ady Source R e im :  Empl C mersed trust S has co oyee Be ees, So nem fiin t tem  Re  nsistently fo ot esm ehe h arbat crers, or h  ty Ins lif p titu e e stage, te  tof e other sponsors of the E an  de dun  Gbrteen d th waldn at a  &d  Asso to clar iaex teg s,press h  e perc 1993 m ?ploye 2015entage of retir  iReti gher e Benefit Research remen lev t Conefid ls of ence e Sur confi es leav veInstitute, the EBRI Educ ys. dee th nce t e hwork forc an workers at ation and e earlier each (50 percent) of employe 25% d workers report having long-term disability insurance, either through their employer or on workers plan t savings and ino vestments of retire between th less than e ag$2 es5,000, of 60–6 compar 4, althe ou d w gh ith 2942 pe p rcent ercent of of re work tirees r ers ages etired 45 in t an hat a d older. At ge range. the On t sahme e The $1 mi Sources of Four Expectations About Retireme provision ? in llion 10 Cost of livi for (40 Retirement Income retireme of un perc nent pai g and nt. At d ) ret car day-to ir eees w the oth can Emp -da also put lioth savin yy e e ex rr e -prx o penses v tridnt a strain o eme, 2 ges of d trahe dat l iti0 ad th o ne perc n aas l res   t e l e$50, o niurces by st t of of 00 those 0 re reasons why incr por wh te havin o have asing ex workers do g don bee pens e n a concerne es and decrea calculat not save d t ion, c h(a osing th to r stock market mpared w save more) e timie th for and Workers 9% 27% 28% 55% would be l Retiree confident con in t ikel fidence h ye valu to provi about e of d the e ha asving a monthly i future fi bene nanci nco fits pai ame in lly secure d retir by Me retir emdic ent. eme are, w Almost t nt has als hile 1 w4 o-thirds o perce increase n (64 percent t re dport . Thirty-s they a ) of pla even re not percent o n part at all icipa confi f ret nts d irees are e report nt 10 guarant basic e percxent or eed m pense s o more. durin nthly in Whil g r come at some etire e 4 perc ment ent (upwoul from pointd stop the aut in t 29 p he ercent futur in e, o such -esc 2014 a alation as a ndg 25 e before it r 80 or percent 85. in e Eight ached 5 percent, 2013 percent of wor ). At the sam one e-quarter k time, ers indicate t 15 p (24 per erchent ey - expenses 2013–2014, but (18 perce still belo n 20%t, upw frtom 12 he 65 perc percent ent measured in 2011) ain nd 2lo 009 ng-t ) (F erm car igure 1 e7 e). Worke xpenses (1 r ho 4 percent, useholds with up from 9 a retir percen ement t in plan, One-th Debt Resear ird (34 .......................................................................................................................... ch Fund, percent) of or their staffs. ret Nothin irees report g herein is to be co having mov nstrued as an attem ed since th pt to aid or ey retire hi d, nder gen the adoption erally to homes that of any..................................... 18 pending le are easi gislation,er to regulation, manage   long-t erm care expenses also continued its slow increase from 16 percent in 2013 to 25 percent in 2015. While the Figure 20, Percentage of Household Income That Workers Think They Need to Save to Live Comfortably in • Instantly get e-mail noti pensio? n or cations of the latest EB  cash balance plan Retirees RI data, 33% surveys, publications, and m 17% 50% eetings than planned (50 percent in 2015) (Figure 34). Many retirees who retired earlier than planned cite hardships for leaving of these financial aspects of retirement, and several conf41 ide %  nce indicators show increases in 2015. The percentage of The majority o other ha their own. nd, 26 percent f those who 15% of workers plan indicate they to anwait d their spo (compa ured wi se do th not h 6 perc ave a ent of retirees 39% retirem    ent plwho act an (DC, uDB, or ally waited) at l IRA) say their east until ener 29 The time, 23 perc 20 gy availa 14 ent percent of workers RCS wh b foun o have le ford t other not, th hat ac woages itivities. T rkers plan nk they 45 nee and o wnin ent dg to t lyder o -three save less th cite assets dela p y reti ercen rement an $ t of of $2 workers a 2550 gave 0,00 ,000 t 0 h for more o e nr retirem d followi 16 percent ng r (veent. re su asons: Savings s l of reti ess than 4 rees stat goals ptend to inc e e they rcent of workers arerea cursre ently fluctuatio retirement, wi ns might reduce t th 50 hpercent e total va of work lue of the ers citi ir savin ng th gese s and fact inv ors. N estments just before they evertheless, many work reers say they tired. Perha p could s in res save a ponse, (Figur ?e 4 Cost of livi 0). ng and day-to-day expenses head the list of reasons why workers do not save (or save more) for are not they curr very confi or interpretative at al ently den l c t about o receive this ty nfident rule, or as havin about legal, g pe o enough mon their accofunting, i ability to nformat actuarial, o ey to live ion from 34% pay    r other such prof for comf their basic orta em expe bly thro ployer. essional advice. nses in Fu ughout th re rthermore, tirement www.eir r ebri. (stati e a lar otir rg ement y g stically e e majority o ears (up q37 uival % f pla ent to from n partici 28 16 perc percent panent ts cent) wou are very inter ld le ested an t it contid nue 30 percent to betwee report n 5 percent they are somewhat and 9 percent. Ot interested. However, hers would allow i t nh terest amon eir contributi g on to r retirees each is ver 10y per low, - Whil 2011). e th At th e maj e o same time, t rity of retirees (90 Verhye percenta  confident percent) report ges So of mew workers hat  that confident S who are ocial S N ot e not curity  tooat  co all nprovides fidecon nt fident a a sou Not atb  all rout payin ce of incom  confidentg fo e r for them medical ex anpe d tnses heir (43 percent of those such as a DC or DB pla 10%who n, or ha an I ve moved). Ot RA, are more likely th hers moved close an those without such r to family (38 pe pla rcent) ns to report , to a different city or part having saved for r of t etirement he Retirement Planning percentage not at all confident about having enough money to pay for medical care (11 percent in 2015 and 15 percent Retirement ............................................................................................................................................. 17 and seminars by clicking on the “Notify Me” or Source:  Employee Benefit Research Institute and Greenwald & Associates“RSS” buttons at the t , 2015 Retirement Confidence Survey. op of our home page. retirees the Retirement Plans work forc who a er wh e very en t .............................................................................................................. confi hey di dent i d, inc nluding having he enough mon alth problem es y to or disa pay for bility basic ex (60 perce penses nt), changes at t has increased h ............................... 20 eir com to 44 percent, pany, such as from   assets total less than $1,000, compa Retirement Age red with approximately 1 in 10 of those who have a plan (among workers, 64 per- age ages 25– 70 to r 34e). tire and 5% 10 percent of workers indicate they will never retire. As one might expect, workers who are not with providi 41 perc househol nent ma small amount g unpaid car d in de a come. I djustment e to more. Seven i a r n particular, t es to the way lative or n 10 frh ien ose w (69 their mo d. Amon perc ith househ ent) state th ney g thos was investe old i e provi ney comes of at l d could ind in g su save the last t ch care, east $75,000 ar $25 a the hree w m eek mo years before t ost frequent e a re tha lmost n r th h e three t ey reti cipi ey a ent o re curr red. imes as f th Hently ia slf care likely say they f in 2014 an retirement, wi ind, d 18 or woul percen d th 50 t i fin n 20 d, percent this inform 13) and 33 of work a pe tiorce n ers citi very nt are ng t (5 some 1 h per ese cw ent) fact hat or some confident. ors. Nevertheless, many work what At the s (37 perc ame time, ent) usef 14 ers say they ul. Ju percent say they are st 1 in could 10 in save a dicate it cent–14 perc in 2 with just 013 a1 in nd 2 ent 10 saying 014(24 ) (Figure percent Sou they rce:  5 Em ) are v ).pl , oy 15 perc ee Ben ery efit  Resear (2 percent ent–19 perc ch Institute an ) or dent (11  Gr somewhat eenwald & perc Associaent t (8 es, 2015 )percent) , or  Reti r20 emenperc t  int Confide erest ent or nce Surevd emore (11 perc y.in purchasing t ent). his type Howev ofe r, a few The per spouse Income i (63 cn enta ret pe ge of income th irement rcent say it is ofte is n ne a major sourc at some work eded not only to su e ers report of income ppor n)e , eds to wo t the rkers an immed be saved to ensure a d t iat he hous eir spouses c ehold, c obut a o ntinue mfortable ret lso to to expect to prov irement ide sdraw upport may s th teir oeem ( (2 93 pe 0 percen rcent vs. 2 t, dow0 n pe from rce2 n9 t) . percent in 2013) and long-term care expenses (32 percent, down from 39 percent in 2013) country (37 percent)0% , downsized (35 percent), or chose a less expensive home (28 percent). The 66 percent of retirees in 2013) does not show a statistically meaningful change, the percentage not at all confident about having enough Even with long-term disability insurance, a six-month disability can have major consequences for retirement and EBRI Issue Brief is registered in the U.S. Patent and Trademark Office. ISSN: 0887 ?137X/90 0887 ?137X/90 $ .50+.50 downsiz Worker ? confi The poor ing or dence t closure economy (25 hat t So (27 urce: h pe   ey Employe are rcent), perc e Be doin nefi an ent). t Re g a d ha sea good job o rch In ving to stitute and care  Grfeen prepari w fo ald &r  Aa spo sso ncg iat efinanc su , 2015 se or  Reita i reanother lly for ment Con retir fiden family cee  Sument conti rvey member . nue (22 s to rebo percent). und f Others say rom the 28 percent in 2013, approaching the 48 percent measured in the 2007 RCS. At the same time, 9 percent continue to be c confident ent vs. 9 pe abo rc ue t thei nt; ar f minanc ong re iatl security irees, 61 in pe r rc ee tirement nt vs. 12 plan per to retir cent). At the e later, same time, t on average, t hose witho han those wh ut a retirement pla o express n are as those w is a parent or ith lparent ower incomes -in1- 993 law 1994(53 percent of workers a to report 1995 1996 199 they 7 1998 1999 need to a 2000 2001 n ccu 200 d 228 m 200ulate at 3perc 2004 ent o 2005 leas 200f 6 retirees 2007 t $1 20 millio 08 2). They also provi 009 n 2010for 20 retirem 11 2012 2013e2nt 0d 14e (3 2015 care to: 5 percent vs. 12 per- (50 percent) o Income Figure 21, saving fo Needs in Retirement Average f those who r ret Perc irement. enta mge o a de t f I hn ese come adju Needin stments moved to g to be Saved more co for Wonservative investments. Sixt rkers to Live Comfortably in Retirement, by een percent moved small amount more. Seven in 10 (69 percent) state they could save $25 a week more than they are currently Some work would be not at all con not t ers are fid oo (6 ent,adjustin and ano perceng t) or not tsome of t her 14 at al perc heir ent of retirees l (5 percent expectations a ) use are no b ful. ou t twhe too co n to nfident. Lik retire, pereh aps in re worker co cognit nfidence, r ion of the etire fact e co t nfidence hat say it depe unlikely, product. relatives a but Ins nnds d f t it ea r may not on cir iends. d, 70 cperc Thr umsta be ee ent far afi n i of r n ces or t 10e e (2 tire ld from 9 hes perc eir s fi awhat t ent) workers nances y they ar hey ma (6 e per not at all a y cn ent) actually d 2 i or th int n 10 nee erest at t (20 perc dh e . T ey do d h (Figu e ent average amount not r) e ret kn 44i). ow ho rees report th w h in igh di t viduals r ey are c hey would e uport rrent let they ly their retireme in retirement nt inc rome from emain belo a w t wide var he highs iety o meas f so ured in urces. (Socia 2013 (Figures l Secur ity is the feder 6 and 7). al program that provides income who have not moved since retirement say that if they were to do so, they would look for a smaller (28 percent), easier- money to pay for long-term care (23 percent in 2015 and 34 percent in 2013) decreased (Figures 9 and 10). retirement preparations. Yet many workers fail to recognize this. When asked about the likely consequences of a six- Many workers acknowledge their savings shortfalls for retirement, stating they need to save a sizeable, perhaps changes in low i not at a n 201 ll con 3. the T fih d skills re e ent perce about quire ntag pa e dying very con for t for heir basic job fiden(10 expenses t, whic perc There’s lo h ent) or decli (Fign ure e other d to 8). ts more! 1 work-re 7 perce n lated reasons t in 2013, inc(22 reased to perce 2 nt) played 5 percenta rol in 20 e. O 15f far less likely than those with a plan to report assets of $10 th 0,000 or more (among workers, 3 percent vs. 34 percent; confidence. Although we ll below the confidence level observed regarding paying for basic expenses, worker confidence about cent). to income Also co Retirement Co -pronsistent wit ducing innfidence and vest h prior ments. Small RCS Age find e................................................................................................. ir perc ngs, despite entages himade ot gher saving her s goals, adjustments, such as c workers who have d hangio ng t ne h a e com retirem .............. 17 pae nnt y or Source:  Employee Benefit Research Institute and Greenwald & Associates, 1993 ?2015 Retirement Confidence Surveys. their fina in havi A sizabl ng eno e saving fo ncial percu preparations for entage of ghr ret money irement. wor for retirem kers say they retirem ent ent may ha have virtua s varied over be 1100 13 inally dequat the no money St 25 e. reet Sixt years NW · Suite 878 in een savings an of the percent o RCS, d f th inv wo ough estments. Among rkers in t the level he 2015 of co RCS say t RCS nfidenc work e h ers e age contribution rise (12 percent) (Figure 26). need to save i replac All in providi all, ement ng fin more for the aged a ancial su n than creases as th hal pport f (5 t 6 no eir ret d perce a re disabi lative n ireme t) of lity c or nt w overage for o frien confidence rkers ex d. Amon pect eli de g g those to ibl creases. In e be able to workers who fac pr and t manage in ovide t t, workers a heir his type dependents reti grement e of su 45 or ol ). pport, with der n th w o more th e most comm ho are not at an 70 per- on all to-manage ? Inade (2q 4 percent uate fina)nces or c home. Sixt an’t een afford to r percente say the tire (18 y woul percent d look ). for a less expensive home, while 15 percent would month disability on their retirement and preparations for retirement, one-third (33 percent) say it would have no effect unmanageable, chunk of their total household income in order to live comfortably in retirement. While one-third ? A friend (13 percent of workers and 11 percent of retirees). (statistically equivale © 2015, Emplo nt to the lev yee B els meas enefit Research Institute ured betwee Washington, DC n 200 ?Educ 3 aation and Re nd 2007). Ho 20005 sewever, arch Fund. All the percentage not at rights reserved. all confident, among retirees, 11 percent vs. 45 percent). having eno ugh money to pay for medical expenses and long-term care expenses in retirement continues an incremental providing this type of information, 57 percent report that the total value of their household’s savings and investments, at wh expressed ich thby t ey expect to hose already retirie n has c retireh ment anged in t has tended to o he past year, utpace that and of tho of those yet se, the large to r majority (81 etire. Retirem percent ent confidence ) report their confident recipients ar abo e u childr t havin en a g eno ge 1 u8 gh or o money lder Visit EBRI online today: (38 for a com percen fortabl t of wor e retir kers and 5 ementwww.ebri.org t 8hink th percent ey n of r ee ed tir to save ees), chil 42 dren percent under of t 18h eir (37 total per- cent of their preretirement income. Anoth er 23 percent expect to be able to manage with 70–85 perce nt of move clos er to family. Figure 22, Worker and Retiree Perception of Debt Load .......................................................................................... 19 (202) 659-0670 www.ebri.org www.choosetosave.org ebri.org ebri.org ebri.org ebri.org A monthl ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org ebri.org Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri Issue Bri y research report f e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e efffffffffffffffffffffffffffffffffff • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 • April 2015 • No. 413 rom the EBRI Education and Re search Fund © 2 015 Em ployee Benefit R e search Institute 2 12 34 15 21 13 19 36 25 27 30 16 11 35 17 31 29 32 33 23 28 14 20 10 24 22 26 18 4 8 3 7 5 9 6 22%

Volume 413

Pages 40

EBRI Issue Brief

Ruth Helman

Craig Copeland

Jack VanDerhei

Retirement