Survey: More delay retirement datesKansas City Business Journal
Investment losses have more Americans putting off their planned retirement date, according to a Watson Wyatt survey.
The human resources consultant, based in Arlington, Va., said that 34 percent of all workers surveyed have pushed back their retirement plans in the past year. Among workers 50 and older, 44 percent are delaying retirement longer than expected.
“The economic crisis has affected many workers’ retirement plans and nest eggs, but those nearest to retirement have been especially hard hit,” said David Speier, a senior retirement consultant for Watson Wyatt (NYSE: WW). “Older workers do not have the time to offset declining retirement account values, either by recouping their investment losses or significantly increasing their savings rate.”
Declines in the value of their 401(k) accounts ranked as the top reason for delaying retirement, but investment losses aren’t the only reason. The survey said that 63 percent cited the high cost of health care and that 62 percent cited higher prices for basic necessities.
Those postponement plans already may have changed a bit for many workers. The Watson Wyatt survey was conducted in February. The S&P 500 has rallied more than 35 percent since its March low.