With all of the havoc being brought down on our economy thanks to the horrific policies of the Biden administration, individuals across the country who are over the age of 50 are having a hard time believing the American Dream is still a thing. In all honesty, when you take into consideration how high inflation is, how difficult it has become to buy basic necessities to live, and the fact many more people than ever before are living week-to-week, plus the cost of housing, I’d say the American Dream has gone extinct.
And when you see how many individuals who are over the age of 50 and have absolutely no retirement savings — meaning they are basically going to have to work until the day they drop — The consequences of the destruction of the American Dream are quite dire.
Via Metro Atlanta CEO:
A new AARP survey finds that 20% of adults ages 50+ have no retirement savings, and more than half (61%) are worried they will not have enough money to support them in retirement. The findings also reveal a decline in overall sense of financial security among men, 42% of whom describe their financial situation as “fair” or “poor,” up from 34% in the beginning of 2022. However, roughly 40% of men who are regularly saving for retirement believe they are saving enough, compared to just 30% of women.
“Every adult in America deserves to retire with dignity and financial security. Yet far too many people lack access to retirement savings options and this, coupled with higher prices, is making it increasingly hard for people to choose when to retire,” Indira Venkateswaran, AARP Senior Vice President of Research went on to say. “Everyday expenses continue to be the top barrier to saving more for retirement, and some older Americans say that they never expect to retire.”
Almost a third of older adults who have a balance on their credit card that carries over month-to-month are reporting that balance as being more than $10K, while a total of 12 percent have revealed their balance as more than $20K, which is an increase of 8 percent from 2023.
Despite this, 33% of respondents ages 50+ believe their finances will be better 12 months from now, but the lingering effects of inflation and high costs are still apparent:
- More than one-third (37%) are worried about covering basic expenses, such as food and housing.
- More than a quarter (26%) are worried about covering family caregiving costs.
- Seven in 10 (70%) are worried about prices rising faster than their income.
- Over a quarter (26%) of people who are not yet retired say they expect to never retire.
“America is facing a serious retirement crisis. AARP has a long history of supporting legislation to expand access to retirement savings, but Congress must act more swiftly to provide the financial support older Americans need and deserve,” Nancy LeaMond, AARP Executive Vice President and Chief Advocacy & Engagement Officer, explained. “We have worked with 19 states to create programs to make it easier for people whose employers don’t offer a retirement plan to be able to save for their future. But about two-thirds of states have yet to act, and we await action from the federal government.”
The data in the report also revealed that Americans are about 15 times more likely to save back income for retirement when a workplace plan is made available to them. Despite that, almost 57 million people in the nation have no access to a retirement plan at all from their employer.
In light of all this, Congress is currently in the process of looking at different pieces of legislation that would help expand retirement security, including a bill that is bipartisan in nature called the “Retirement Savings for Americans Act of 2023,” which provides retirement savings accounts to workers who meet eligibility requirements without having an employer-sponsored retirement plan, along with the Automatic IRA Act of 2024.
Eight states have auto-IRA programs up and running: California, Colorado, Connecticut, Illinois, Maine, Maryland, Oregon, and Virginia, while Massachusetts has a multiple employer plan in place. Ten other states have passed legislation and are at various stages of implementation, including Washington, where auto-IRA legislation was signed into law last month.
We need to see a change in Congress if we want to see these trends begin to change. Time to toss out the progressives and ensure both chambers and the White House are controlled by conservatives with solid economic principles based in reality.
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