'Very troubling': A third of Americans have nothing saved for retirement, survey shows

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A new survey shows that over a third of Americans have nothing saved for their retirement.

(Thinkstock photo)

Thirty-six percent of adults in the United States have nothing saved for retirement, according to a new survey from Bankrate.com.

The survey, published Monday, broke down retirement savings by age group. 14 percent of people ages 65 and up had no retirement savings; 26 percent of the 50 to 64 age group; 33 percent of those 30 to 49; and 69 percent of adults 18 to 29 had no retirement savings.

The survey asked 1,003 adults about their retirement savings, USA Today reported. Bankrate.com is a personal finance website that provides financial rate information on everything from mortgages to ATM fees.

Greg McBride, chief financial analyst for Bankrate called the numbers "very troubling."

"Regardless of your age, there is no better time than the present to start saving for your retirement," said McBride. "The key to a successful retirement is to save early and aggressively."

USA Today reported that recent research from the Employee Benefit Research Institute supported Bankrate's numbers, showing that 36 percent of workers have less than $1,000 in savings for retirement, while 60 percent have less than $25,000.

According to the institute's research, many people realize they aren't saving enough, and cite cost of living and day-to-day expenses as the main reasons why they don't save more.

Another study from the US Department of Agriculture found that the cost of raising a child born in 2013 to the age of 18 has reached $245,000, according to The Christian Science Monitor. That number can rise to $455,000 for a high-income family from the Northeast, and doesn't include college tuition.

The Los Angeles Times reported that the Federal Reserve's attempt to stimulate the economy after the Great Recession has caused historically low interest rates, and hurt savers.

Interest rates on savings accounts and certificates of deposit both pay about 1% or less, according to the Times.

The Bankrate survey also had some silver lining, finding that those workers who are saving are starting to do so at an earlier age:

  • 32 percent of people ages 30 to 49 have been saving for retirement since their 20s; 16 percent since their 30s.
  • 24 percent of the 50 to 64 age group began saving in their 20s compared to 21 percent in their 30s.
  • 16 percent of those 65 or older began saving in their 20s, 15 percent in their 30s and 17 percent in their 40s.

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