Arizona Financial Advisor Kevin Canterbury Discusses the Millennial Balancing Act
A large percentage of younger generations hope to retire early, but is it realistic? According to a Charles Schwab survey of 2,000 millennials between the ages of 16-25, most millennials plan to retire by 60. This is is four years before the current national average for retirement and seven years before Social Security’s “full retirement age.” However, when we look at the average millennial’s savings, retiring at 60 may not be in the cards. The National Institute on Retirement Security has found that 66% of individuals between the ages of 21-31 have nothing saved for retirement, with Fidelity sharing 2019 fourth-quarter statistics showing that millennials have an average 401(k) balance of $10,500 and are currently saving just 7% of their income. Although these numbers show that millennials are saving more money for retirement than the majority of young adults were five years ago, this still shows that many millennials are not on track to retire at 60. The fact remains that: