Healthcare and Living Costs Named Top Concerns by US Retirement Savers, Smart Future of Global Retirement Report Finds
By FF Newsroom · 24 March 2023
Smart, a leading global retirement technology provider, has released the US results from its annual Future of Global Retirement report, which examines the progress in knowledge, attitudes, and concerns about retirement savings; surveying 8,000 individuals worldwide and 2,000 US savers, the report found that 58% of respondents consider healthcare as their top concern when it comes to retirement-related worries, while 57% cited their concern about being able to afford living costs on a day-to-day basis.
Key findings include:
- Healthcare and living costs present concerns: 58% of respondents said healthcare tops the list when it comes to retirement-related concerns, followed by 57% of respondents who cited being able to afford day-to-day living costs.
- Americans plan to work into retirement: 35% of respondents plan to work into their retirement, indicating that retirement is becoming a transition rather than a one-off event.
- Inflation impacts outlook on monthly spend: 43% of respondents aged 45-54 see their average monthly spend going up in retirement, which may reflect concerns about the impact of inflation.
- Retirement plan providers can improve guidance: 32% of respondents cite their financial advisers as the most useful source of information, while just 17% say they receive their most useful advice from their retirement plan provider and 10% say their employer. This presents an opportunity for service providers to step up guidance and education measures.
- Americans desire a combination of autonomy and assistance: 66% of respondents consider the most important feature of a retirement plan to be online access; 59% of respondents want a blended approach to managing their retirement finances, combining autonomous control and assistance when needed.