Over recent years, a lot of concerns have been raised with regards to how ill prepared many Americans seem to be when it comes to preparing themselves for retirement in terms of their finances. There have been worries that many Americans will find it difficult to cope financially and meet all of their essential costs when the times comes to retire because they have failed to make adequate provisions for their golden years.
However, a recent report has indicated that the climate appears to be changing for the better, with a rise in the number of Americans making provisions for their retirement years. A recent Fidelity report has shown that as a nation America appears to be better prepared for retirement than in previous years with figures showing that there are now more households that are prepared for retirement in terms of their finances than there were in 2013. The figures were based on analysis of research carried out in relation to funding for retirement and this involved a survey of 4,650 people.
As part of the study, respondents were asked questions relating to how easily they would be able to cover essential costs in retirements such as the cost of food, healthcare and accommodation. Each household was then issued with a score from Fidelity based on the answers provided. Households had to receive a score of 81 or over in order to indicate that they would be able to cover such basic expenses without any issues, and the number of households that achieved this score came in at 45 percent compared to 38 percent in 2013, which was the last time that this particular study was carried out.
The figures for this year’s report also showed that the number of households that needed to make changes to their plans for retirement in order to be able to meet the necessary essential costs fell from 43 percent in 2013 to 32 percent.
Officials have said that the figures and information from the latest Fidelity report are very encouraging and appear to show that Americans are becoming more savvy and organized when it comes to preparing themselves for their retirement. Many are now realizing the importance of saving towards their retirement and have become more aware of the problems that they could face if they fail to make the necessary provisions.