751 Americans begin earlier

As reported in WSJ this week, AXA Financial has produced a report that says Americans begin retirement planning at an earlier age and save larger sums on average than other people.

According to the press release, "Nearly 80 percent of Americans surveyed have a plan for where they want to live, what they want to do, and how much money they’ll need in retirement. Most people started planning for retirement early, in their 30’s.

Americans are taking responsibility and making themselves more knowledgeable about retirement issues, with 90 percent of respondents saying funding retirement is primarily their individual responsibility – not the government’s or their employer’s."

"Working Americans are saving, on average, $687 per month toward retirement. (Based on other responses, this figure reflects their investment in such savings vehicles as conventional savings plans, life insurance policies and pension plans.)Retirees save $535 per month, on average.

Retirees, on average, say they are retiring at 58 years old. American workers, however, say they would like to retire at 55, but, in reality, don’t expect to retire until they are 63."

Although we know many people who have retired in their 50s (including my father), they all started other companies, jobs or went into consulting. So I think many "retirees" are actually workers. I retired at 60, and my husband began turning down clients a year ago, and is just finishing up contracts now at 67, but still has a few dawdlers on the books.

This looks like an interesting report in light of the President's proposals to let Americans have Private Retirement Accounts to ease the SS squeeze. However, it is 97 pages--not sure it is THAT interesting, but take a look and see. Also, AXA is in the investment business, so I'm sure their surveys differ from a survey with a political agenda.

A total of 9,200 people were interviewed in Australia, Belgium, Canada, France, Germany, Hong Kong, Japan, Italy, Netherlands, New Zealand, Portugal, Singapore, Spain, United Kingdom and the United States. 813 Americans between 25 and 75 were surveyed, of whom 403 were working and 410 were retired.