Hispanic Americans Ill-prepared for Retirement
Forty-three percent say they know nothing about saving for retirement.
August 17, 2005
Study Finds Hispanic Americans Ill-prepared For Retirement
Hispanic Americans, the fastest-growing segment of the U.S.
population at or near retirement, are among the least prepared to live off their
savings, according to a recent report by the Retirement Security Project and the
National Council of La Raza. Forty-three percent of Latino workers say they know
nothing about investing and saving for retirement, compared with 12 percent of
all workers, according to the study.
The study also found that while half of the heads of U.S.
households nearing retirement have $10,000 or less in a 401(k) or individual
retirement account, more than half of the heads of Hispanic households ages of 55 to
59 have nothing in these retirement vehicles. The study also found that the
median balance held in IRAs and 401(k) plans is $600 for U.S. households but is
zero among Hispanic Americans.
The
need for retirement savings education and help is particularly acute with
Hispanics, given that they have a longer life expectancy than other Americans,
according to the report. At age 65, for example, the life expectancy for
Hispanic Americans is 21 years, compared with 17 years for black non-Hispanics
and 18 years for white non-Hispanics.
= Member Only
