According to U.S. Census Bureau data, 47% of men and 50% of women aged 55 and 66 have no retirement savings.
CBS News interviewed 66-year-old Maryann O’Connor of Rhode Island. O’Connor juggles two jobs and sometimes works up to 11 hours per day – which is not what she expects in her old age.
O’Connor hopes to be retired and play the piano again; however, she is one of the million Americans with no savings or 401(k). Her current financial situation is akin to life and death, as she has no spare money to cover an emergency.
O’Connor is among the elderly who regret not getting retirement savings or 401(k). According to AARP, around 57 million Americans work for an employer that does not offer a retirement savings plan. However, their situation is not too late.
AARP advises people without a nest egg to continue working, lower their living costs, and save as much as possible. It is also recommended to delay the social security benefits until the full retirement age of 70 to get the largest monthly check. The elderly, with or without savings, are advised to avoid risky investments.
David John, a senior policy advisor for the AARP Public Policy Institute, advised elderlies to do more research when they are promised to receive high returns from investments. People nearing retirement age can still plan and save money to enjoy in their twilight years.