Alarming as the truth may seem, Americans are getting poorer. All across this great Nation, if you pay attention, are the cries of the unprepared American. With rising debt, dwindling savings, and soaring expenses, the average American family is in real pain.
Franklin Templeton, a gigantic mutual fund think tank, just completed a recent survey called the RISE, or the Retirement Income Strategies Expectations. The results of this survey are compelling, to say the least. They surveyed thousands of current retirees and those close to retirement. Here’s what they learned.
Age 65 is the traditional retirement age, but according to this survey, 20% will continue working until they die. That means they lack the funds to retire at any time. We can probably work until age 75, but working longer than that usually is a problem due to health reasons. Even worse, 33% said they were forced into retirement for reasons beyond their control. One-third of retirees were forced to retire? It appears the reasons were rather commonplace: health, lay-offs, and caring for a sick spouse.
46% of the respondents said they expect to run out of money while in retirement, while 31% said they have no money whatsoever saved for retirement. Can you imagine what this Country will look like financially in 20 more years if nearly half of all retirees are dead broke?
56% said they have less than $100,000 to their name, and a horrifying 62% had less than $50,000 to retire on. Let’s get real here! $50,000 invested won’t earn enough to pay the utility bills. How can anyone expect to live another 20 or 30 years in retirement on such a small amount of savings? It’s simple; they are fully dependent on Social Security. Yes. They are fully dependent on a system that is on the brink of failure.
The Social Security program was first created in 1935 as a safety net for the elderly, the disabled, and the hungry children. It was not created as a retirement fund. That is one reason it is going broke. In 1935 the average Social Security monthly check was about $19.74. Let’s put that into perspective. The average cost of a new house was $3,450, and the average annual salary was $1,600 per year. Gasoline was an astonishing 10 cents per gallon, and a loaf of bread was a mere 8 cents. The cost of a new Ford Marquis was only $650, and it came with leather seats and a finished teak dashboard! Inflation and the benefits being paid out are killing the current Social Security system. If the Social Security system is gone, what will all the people do?
A CHANGED AMERICA
The public is addicted to a plethora of public entitlements. Over 50 million Americans are hooked on food stamps. It’s no wonder why the RISE survey results are so appalling. Americans are relying on the freebies from the government and not themselves.
Do you have your retirement figures in order? Are you already retired and not sure if you are invested for the long haul? If so, you’re not alone. Act now before you join the statistics!