Ameriprise Study: Retirees Ready But Reluctant to Spend Savings

Aug 10, 2018

While retirees have worked hard to save and invest for their next chapter, new research from Ameriprise Financial finds many of them aren’t tapping their nest eggs. The new study, Making Money Last, reveals only 21% of retirees feel confident about drawing down their assets. In fact, 68% of respondents have not begun to withdraw their money aside from taking required minimum distributions.

Many respondents retired with a substantial amount of money—in fact, the median savings they had was $839,000. Yet a quarter of respondents say they are not sure whether their money will last throughout their lifetime. This feeling of uncertainty is underpinned by a savings gap between what some retirees thought they would need versus what they accumulated. The Ameriprise study reveals 1 in 4 retirees fell short of their savings goal by at least $250,000.

Over half of those in retirement (53%) feel understanding the tax ramifications of draw down strategies is complex. Similarly, 46% of respondents express this sentiment when it comes to understanding how to establish a retirement income plan.

You can find more information about the survey here.


This material is provided exclusively for use by individuals with an active license to the Savvy Social Security Planning Program. Use of this material is subject to the Social Security Planning Program Agreement and applicable copyright laws. Unauthorized use, reproduction or distribution of this material is a violation of federal law and punishable by civil and criminal penalty. This material is furnished “as is” without warranty of any kind. Its accuracy and completeness is not guaranteed and all warranties express or implied are hereby excluded.

© 2019 Horsesmouth, LLC. All Rights Reserved.