Retirement preparation – like musical taste – varies with age

MulletMoney23 Blogger

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Retirement preparation is personal. What worked for your parents may not work for you, just as what works for you may not work for future generations. Exploring these differences can shed fascinating light on how economic, occupational, and personal forces help shape our retirement strategies.

 

Here are some interesting findings from the 17th Annual Transamerica Retirement Survey of Workers:

 

Baby Boomers: 53 to 71 years old

Of the generations surveyed, Baby Boomers have the highest reported total household retirement savings at $147,000 (estimated median). Boomers are rewriting retirement rules by identifying opportunities to work longer into retirement to enhance their retirement savings shortfalls. Plus, Boomers are paving the way for future generations by challenging employers to accommodate a flexible transition into retirement.

 

Generation X: 39 to 52 years old

The reported total household retirement savings for Gen X workers is $69,000 (estimated median). Unfortunately, 30% have taken a loan or early withdrawal from their retirement plan to pay off debt or major expenses. While only 12% are very confident they’ll be able to fully retire with a comfortable lifestyle, there’s still time to catch up on their retirement savings if they commit to saving more.

 

Millennials: 22 to 38 years old

Of Millennials surveyed, the reported total household retirement savings is $31,000 (estimated median). Of the Millennial workers offered a 401(k) through their employer, 72% participate and contribute an average of 7% of their annual pay. Millennials have acknowledged their need to learn more about investing. Of those surveyed, 75% say they would like more information and advice from their employers on how to achieve their financial goals.

 

In summary, retirement is personal. The unique financial and physical challenges facing each generation are varied. What considerations are important to your retirement planning strategy? Do any unique challenges apply to your generation specifically? Share your thoughts below.

 

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This material was prepared for general distribution.  It is being provided for informational purposes only and should not be viewed as an investment recommendation.  If you need advice regarding your particular investment needs, contact a financial professional.

Insurance products and services are offered or issued by Transamerica Life Insurance Company, Cedar Rapids, IA; Transamerica Financial Life Insurance Company, Harrison, NY (licensed in New York); Transamerica Advisors Life Insurance Company, Little Rock, AR; Transamerica Premier Life Insurance Company, Cedar Rapids, IA; and Transamerica Casualty Insurance Company, Columbus, OH. Variable products and mutual funds are underwritten and distributed by Transamerica Capital, Inc., or Transamerica Investors Securities Corporation, each a broker/dealer and member of FINRA. Securities and investment advisory services offered by Transamerica Financial Advisors, Inc., a broker/dealer, member of FINRA, SIPC and a Registered Investment Adviser. Investment advisory services focused on the unique needs of individual retirees, retirement plans and their participants offered by Transamerica Retirement Advisors, LLC, a Registered Investment Adviser. References to Transamerica on this site apply to an individual company or collectively to these and other Transamerica companies. This site may not yet be approved by the Departments of Insurance in all states at the time of publication. Transamerica companies are part of the Aegon Group. Copyright 2011 - 2017 Transamerica Corporation, 4333 Edgewood Road NE, Cedar Rapids, IA 52499 - All Rights Reserved. Transamerica does not sponsor, endorse or promote any products or services mentioned

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