Most Workers Maintained Retirement Savings, Despite Pandemic Challenges
August 16, 2021
Despite the financial challenges many faced during the pandemic, American workers have continued to save for retirement. According to a recent survey from the Transamerica Center for Retirement Studies, 82% of all workers are actively saving for retirement, either through a workplace 401(k) plan or on their own.
Sixty percent of the survey’s respondents said they made adjustments to their finances during the pandemic, just 14% reduced or stopped contributing to their retirement accounts. Some are not sure that the pandemic will not still derail their retirement plans, with one in five workers saying they expect to retire later because of the pandemic.
While workers have been staying abreast of their retirement savings, the survey found that many believe they may not be able to retire on time, if at all. Nearly half (49%) of the workers said they expect to work past the age of 65 or do not plan to retire. This sentiment was strongest among baby boomers, 72% of whom said they do not expect to retire at 65 or already working past that age. Generation X and the millennials are more optimistic, with just 37% and 36%, respectively, saying they will need to work past the age of 65. Among Generation Z, more than half, 51%, expect to work past 65.