Retirement Savings : Saving Solutions

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Retirement: Saving Solutions In 2010, forty-four percent of U.S. workers had not saved an adequate amount to retire at the normal age for full Social Security benefits, according to the Survey of Consumer Finances (SCF) model target (Pang, Warshawsky, & Watson, 2014). The SCF compares the actual household savings, expenses, and other retirement benefits with the survey targets to make this determination. Social Security alone is not adequate to sustain the current lifestyle most Americans want to keep into their retirement years, so it is vital that we make changes to help individuals increase their savings rate. U.S. workers are ill prepared financially to retire because they are financially illiterate. We need to improve the educational opportunities available so U.S. workers understand how to plan properly for their retirement. Feasible solutions to the problem of inadequate retirement savings is to increase financial literacy throughout life by incorporating it into our pre-school, elementary, middle and high school educational programs as well as encouraging employer sponsored programs to take advantage of inertia to help employees increase their retirement savings. By improving financial literacy through early education, individuals will learn to control spending, increase savings, and better understand how to properly invest their hard-earned money. Starting financial educational programs early will help set the behavior of our youth as they move through life into
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