Sources of Retirement Income: Worker Expectations vs. Retiree Realities
October 2, 2024
About 90% of retirees say they rely on Social Security, approximately the same as the percentage of workers who expect Social Securityto help them meet their retirement income needs. Similarly, about 60% of workers expect a traditional pension plan to provide income, which is only slightly higher than the percentage of retirees who say a pension helps pay their bills. In other cases, worker expectations differ dramatically from retiree realities.
Worker expectations for retirement income vs. retirees’ actual experience
- Social Security
- Retiree realities: 91%
- Worker expectations: 88%
- Traditional pension plan
- Retiree realities: 59%
- Worker expectations: 61%
- Workplace retirement savings plan
- Retiree realities: 48%
- Worker expectations: 84%
- Work for pay
- Retiree realities: 25%
- Worker expectations: 73%
- Traditional IRA
- Retiree realities: 51%
- Worker expectations: 68%
- Roth IRA
- Retiree realities: 29%
- Worker expectations: 58%
- Personal retirement savings and investments
- Retiree realities: 68%
- Worker expectations: 77%
- Guaranteed monthly income product
- Retiree realities: 28%
- Worker expectations: 53%
Source: Employee Benefit Research Institute, 2024
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