Most Wisconsin workers are not saving enough money for retirement, according to a new AARP survey.
Lisa Lamkins, Wisconsin Federal Advocacy Director with AARP Wisconsin, says too many individuals 50 years of age and older are financially unprepared for retirement. There are $820,000 AARP members in Wisconsin.
“The average household savings — and this is nationwide — is only $3,000, you know, for their retirement savings. That is really alarming. And even households that are close to retirement age have only $12,000 saved for retirement.”
Lamkins says too many people don’t have a way to save for retirement through their employer, and Social Security won’t do. She’s calling on lawmakers to support a state-run savings program.
“They ultimately reduce dependence on Wisconsin government programs. If people have enough saved for retirement, then they don’t need government safety programs down the road.”
Workplace saving plans, such as 401K or 403b, boost retirement savings rates by 1300 percent, but Lamkins says many workers in their survey say they don’t have such savings plans. She says saving for retirement is not a partisan issue. An AARP retirement calculator can give individuals an idea about whether they are saving enough for their future.
AARP wants the legislature to re-introduce the Wisconsin Private Secure Retirement Act, which was proposed last year but never had a public hearing.