A recent report put out by the Corporation for Enterprise Development detailed some troubling facts regarding Americans and their financial planning capabilities. The report found that nearly 44% of those Americans surveyed do not have the ability to cover the basic cost of living for more than three months if they lose their income source. The report also states that one-third of Americans do not have a savings account at all.
With so few of us currently having a financial “safety net” for emergencies and bad times, it begs to question: How many Americans are truly planning for their retirement? I don’t have the figures in front of me but I would bet that the overwhelming majority of those 44% of Americans with no safety net are doing absolutely no financial planning for retirement. In this day and age, as financial planners, stock brokers, and insurance agents all tout their own respective products as the solution for those nearing retirement, one thing is absolutely clear: Baby boomers and young adults alike should be contributing something into their nest egg so that they have the income they need during retirement.