National Retirement Risk Index Shows Modest Improvement in 2016

Although the future of retirement security has brightened a bit over the last 3 years, research by the Center for Retirement Security shows that over 50% of future retirees will not be able to maintain their standard of living while working, in retirement.

The brief’s key findings are:

  • Between 2013 and 2016, the National Retirement Risk Index improved modestly, dropping from 52 percent to 50 percent of working-age households.
  • The improvement was driven mainly by rising home prices, with stock market gains also contributing.
  • At the same time, Social Security’s rising “Full Retirement Age” and declining interest rates served as a headwind against greater progress.
  • The bottom line is that retirement security remains a major challenge that requires today’s workers to save more and/or work longer.

– Center for Retirement Research at Boston College

Read the full report here.