April 09, 2019

Nearly Half of Households Approaching Retirement Have Low Savings

National Retirement Planning Week is a good reminder for consumers to budget and prepare for their future.

According to a recent report from the U.S. Government Accountability Office, most households of people aged 55 and over have no retirement savings. To educate Missourians about the need for retirement planning, the Missouri Department of Insurance is supporting the National Retirement Planning Coalition to promote consumer education and awareness during National Retirement Planning Week, April 8-12, 2019. The National Retirement Planning Coalition (NRPC), a group of prominent education, consumer advocacy and financial services organizations led by the Insured Retirement Institute (IRI).

“48 percent of consumers approaching retirement have zero dollars saved,” said Chlora Lindley-Myers, Director of the Missouri Department of Insurance, Financial Institutions and Professional Registration. “This is a real concern, as it leaves people unprepared for some significant costs during retirement, such as medication or health care. We want to do our part to make sure Missourians know their options and are ready for their retirement.”

The Missouri Office of Administration estimates that by 2030, individuals older than 65 will represent more than one-fifth of the state's population. To be financially comfortable in later years, individuals must take on the responsibility to save and plan for their financial future. The earlier an individual starts planning the more financially prepared they will be during retirement. 

This infographic outlines the significant difference in the total impact starting early can have on retirement savings.

Graph of Retirement Savings Comparison 

The National Retirement Planning Coalition has retirement planning tools available on its website, retireonyourterms.org.

About the Missouri Department of Insurance, Financial Institutions & Professional Registration

The Missouri Department of Insurance, Financial Institutions and Professional Registration (DIFP) is responsible for consumer protection through the regulation of financial industries and professionals. The department's seven divisions work to enforce state regulations both efficiently and effectively while encouraging a competitive environment for industries and professions to ensure consumers have access to quality products.