Older Workers Short on Retirement “Intelligence”
Many workers close to the traditional retirement age lack the knowledge they need to adequately prepare for their later years. That’s the overall conclusion of the latest MetLife Retirement Income IQ Study released in June, 2008.
The survey of 56-65 year olds who are within 5 years of retiring found that a majority underestimate the average person’s longevity. Just one-third knew that someone reaching the age of 65 has a 50 percent chance of living beyond age 85. The survey also that found nearly 70 percent of pre-retirees overestimate how much they could withdraw from their retirement savings each year. Given a choice between four, seven, ten, and fifteen percent, less than one-third of respondents gave the generally accepted answer of four percent.
Click here to download and read the entire study from MetLife Mature Market Institute.