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What do you think pensions, IRAs and 401Ks are invested in?

• stevenwoo 9y ago
  You have a point but this is mitigated by the fact that most Americans have very little saved for retirement, just eyeballing the numbers it appears a tiny percentage of people are able to put away a substantial amount for retirement. http://time.com/money/4258451/retirement-savings-survey/ http://time.com/money/4258451/retirement-savings-survey/
  • valuearb 9y ago
    This article is very poorly written. First, how much you have saved should be directly related to your age, and they only touch on that in the second half of the article and only in way too big groups, ie not in any precise way. Secondly, they don’t differentiate between married and unmarried. Two married 55 year olds with $300k each in 401ks are in better shape than individuals. As is someone with zero saved married to someone with $1M saved. Also, they don’t include pensions and other defined benefit plans. That’s s substantial difference. If you are a school teacher two years away from getting $50k a year at retirement, you might not feel sane urgency to save. and most importantly it ignores home equity. Paying off your home creates huge savings. I have a friend who paid off his $800k home by age 50, he would have answered that he has near zero retirement savings. He retired at 60 and built a million dollar home, no mortgage. Lots of people pay off homes by early retirement. Finally, social security iften undercuts both the perceived need for big savings, and the means to do so. I’m paying in $9,000 per year right now, if i wasn’t i’d certainly contribute more to my 401k.