Almost a third of American baby boomers face a poverty-stricken retirement because they have not squirreled away enough money to finance their twilight years.
Longer life expectancy is not just making retirement more expensive, it is hiking up the price of pensions and insurance for employers - many of whom have cut their losses and run.
The idea that if you save 10 per cent of your income during your working life you'll have plenty in the pot for a comfortable retirement is no longer true, experts are warning.
Far from being a drain on society, older people across the world are making huge contributors to the economic and cultural wellbeing of their nations, with more than one in 10 now working into their 70s.
Some 80 million baby-boomers are poised to retire across America over the next few years – and the vast majority are completely unprepared for the transition.
The Washington Post ran an interesting article this past weekend on retirement plans. While the topic itself isn't revolutionary, it does raise a very interesting point: do 401k and other retirement plans put too much responsibility on the employee and/or the employer.
British workers are continuing to sleepwalk into a poverty-struck retirement, with most likely to see their incomes slashed in half when they stop work.
Workers in smaller businesses in America are not only less likely to have access to health care benefits, but also left high and dry when it comes to company pensions.
It's self-evidently good news that people are living longer. But every extra year added to the life expectancy of the average British worker adds another £15 billion to the private sector's pension bill.
As many Americans drift towards a penniless retirement, increasingly worried employers are resorting to 'hard sell' tactics to talk up the benefits of joining a company pension scheme.
A comfortable retirement could becoming a luxury only wealthy Americans will be able to afford, as a growing number of middle income earners believe it is impossible to meet today's bills and save for retirement at the same time.
Americans may be getting better at saving for their old age, but many are going to find themselves in a financial squeeze as their retirement costs climb far higher than they anticipated.
American bosses are adopting a 'do as I say, not as I do' approach when it comes to persuading workers to sign up to company pensions, transparently failing to put their own money where they are asking workers to put theirs.
Pension pay-outs for British workers have fallen by more than three quarters over the past decade, in a clear sign that the crisis facing today's workers when they reach retirement age is set to get worse.
More than a fifth of American workers admit that they have done absolutely nothing to plan for their retirement, with most waiting until they are at least in their mid-thirties before reality starts to sink in.
The stubborn reluctance – or inability - of many Americans to put enough money aside for their retirement is forcing more employers to cajole and encourage workers into joining their company pension plans.
The pension fund deficits of Britain's largest 100 companies have fallen by £20.5 billion over the past year, the largest annual reduction in deficit since 2002.
Final-salary pensions are becoming an increasingly rare benefit in British workplaces and could be all-but extinct in the private sector within five years, specialists have predicted.
While companies across the globe are concerned that their pension plans pose a financial risk, a new report has found that organisations in the UK are the most worried about the possible impact of their pension deficits.
The number of British companies offering lucrative final salary pensions to new employees has fallen dramatically over the past four years and there is more uncertainty on the way.
Copyright © 2000 - 2020 Management-Issues.com, except where otherwise noted. | Powered by SedaSoft
