Due to the recent economic downturn and the slow as molasses recovery, 40% of U.S. workers are putting off retirement, this according to a survey by Towers Watson.
The majority of respondents also stated they are willing to pay more now for retirement, health benefits even if it means they cannot spend as much when they eventually retire. More than one-third (37%) of employees with a 401(k) plan intend to increase contributions over the next 12 months, while one-half (51%) plan to keep contributions at the same level.
Of the overall percentage, older workers and those in poor health comprise the largest group delaying retirement. The survey found that nearly two-thirds of respondents (63%) are actively paying off their debts to improve their financial situation, nearly double the number (33%) in early 2009. More than half (54%) are cutting back on their daily spending, while roughly one-third (34%) are increasing their monthly savings, compared to only 19% in early 2009.
