More than two thirds of employees in the United States expected their main source of retirement income to come from retirement plans, such as 401(k), 403(b) or individual retirement accounts (IRAs), as of the end of 2020. A large share (also around two thirds) expected their main source of income to come from social security. Meanwhile, 37 percent of respondents expected to finance themselves in retirement age by continuing to work.
Here are the most common ways Americans plan on paying for retirement, according to a survey conducted by the Transamerica Center for Retirement Studies in 2020 (the most recent data available).
Image Credit: DepositPhotos.com.
1. 401(k)/403(b) Accounts/ IRAs
Share of respondents: 71%
Image Credit: designer491 / istockphoto.
2. Social Security
Share of respondents: 66%
Image Credit: Zinkevych / istockphoto.
3. Other savings and investments
Share of respondents: 48%
Image Credit: nortonrsx.
4. Working
Share of respondents: 37%
Image Credit: Deposit Photos.
5. Company-funded pension plan
Share of respondents: 26%
Image Credit: DepositPhotos.com.
6. Home equity
Share of respondents: 18%
Image Credit: Deposit Photos.
7. Inheritance
Share of respondents: 14%
Image Credit: designer491/ iStock.
8. Other
Share of respondents: 2%
Image Credit: Tinpixels.
Methodology
Statista used data from the Transamerica Center for Retirement Studies conducted by Harris Poll from November 17 to December 29, 2020. Surveys were conducted online, and results are from 3,109 adult Americans working full-time or part-time in a for-profit company employing one or more employees. The question was phrased by the source as follows: “Which of the following do you expect to be sources of income to cover your living expenses after you retire? Select all.” Multiple answers were possible. You can find more information here.
This article originally appeared on Statista.com and was syndicated by MediaFeed.org.
Image Credit: shapecharge.
More from MediaFeed
The US city that Boomer homebuyers are flocking to
Image Credit: DepositPhotos.com.
