We are transitioning from a nation of spenders to a nation of savers. Many younger workers are seeing their parents unable to retire because they overspent. Many looking to retire hold mortgages on their homes with little savings.

Financial goals cited include:

• Maintaining a comfortable standard of living during retirement (78% reporting 7 or higher on a scale of 1-10);
• Not falling below your current standard of living (73%);
• Protecting your income in the event of a disability (60%);
• Protecting your family’s standard of living in the event that the household breadwinner passes way unexpectedly (55%);
• Building a sizable investment portfolio (47%);
• Making a major purchase such a car, boat or furniture (30%); and
• Financing your children’s college education (29%).

 

Three out of four Americans (74%) said the pace of today’s society is making it harder for them to focus and remain on track toward achieving long-term goals. However, the research – called the Stick With It study – also reveals how some people are successfully remaining focused over time. 

The number one strategy that works is “setting small interim goals,” with nearly seven out of 10 people (67%) reporting this as a key step to ensure a long-term goal is achieved. The two next most common strategies are “allowing yourself to make mistakes” (62%) and “holding yourself accountable” (60%).

Americans attitude toward retirement is changing. The boomers believed they would just as they always had throughout their lives. They believed that since times were good they would always be good. Besides the government would protect them. Recent events has dramatically changed these thoughts. We must be accountable for our own future.

Please or call to discuss how this affects you and your company.