Most state and local government workers (61%) are uncertain if they have enough money set aside for their retirement, according to a recent ING study.
The study also revealed that 43% have become more worried about their savings since the financial crisis. But most people aren’t doing anything about it, as 72% of those surveyed have not changed the amount they are investing to address these concerns.
The study polled more than 1,000 American government workers.
“As more government entities scale back on their pension programs to offset tight budgets and increased financial obligations, workers in this sector will need to better understand and leverage the savings opportunities offered by their employer’s defined contribution plans,” said Bill Jasien, head of government markets for ING U.S. retirement services.
Most respondents (71%) expected to receive a traditional defined benefit pension from their employer, and those eligible for this benefit believed it would make up more than half (54%) of their retirement income.
But about half were still worried that the amount they received during retirement would not be stable.
About two-thirds (64%) reported having access to a voluntary retirement plan at the workplace and nearly three-quarters (74%) said they were actively making contributions to the plans.
But they weren’t contributing much.
Half the respondents had less than $50,000 in their accounts. Another 20% didn’t know what their balance was.
