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Do You Know If Your Retirement Is at Risk?

April 22, 2024

An analysis of data from the Federal Reserve Survey of Consumer Finances found that 47% of U.S. households were at risk of not having adequate retirement income, but only 19% were aware of their risk. On the other hand, 53% were not at risk, but only 38% knew it. This means that more than four out of 10 households were either too worried about their retirement readiness or not worried enough. It may be surprising that lower-income households were more likely to be too worried, while higher-income households were more likely to be not worried enough.

Percentage of households that correctly or incorrectly assessed their retirement readiness, by income group

Not worried enough

  • Low 26%
  • Middle 26%
  • High 32%

Too worried

  • Low 20%
  • Middle 14%
  • High 9%

At risk and know it

  • Low 29%
  • Middle 18%
  • High 8%

Not at risk and know it

  • Low 24%
  • Middle 41%
  • High 50%

Source: Center for Retirement Research at Boston College, 2023

 

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