Workers are right to fall back on their own saving after they retire from full-time jobs.
An online survey by Charles Schwab of more than 1,000 workers age 25 to 75 showed that 89 percent expected their own retirement funds would carry them through their Golden Years, The Associated Press reports. Of the respondents, 55 percent said that in the last two years they have increased their savings.
Sixty-one percent of the respondents said their 401(k) savings would be their only or largest source of retirement savings.
Fewer people said they planned to rely on Social Security. The average Social Security retirement benefit in 2012 was $1,234 a month, or about $14,800 a year, the Center on Budget and Policy Priorities reports.
The center also said that without Social Security benefits, more than 40 percent of Americans age 65 and up would fall below the federal poverty level. Currently for 65 percent of elderly beneficiaries, Social Security provides the majority of their cash income.
For 36 percent, Social Security provides more than 90 percent of their income and for 24 percent of elderly beneficiaries, Social Security is the sole source of retirement income.
The folks responding to the Charles Schwab online survey don’t appear to be in the same neighborhood where middle-class and poorer Americans live.