Number: RL33845
Title: Retirement Savings: How Much Will Workers Have When They Retire?
Authors: Patrick Purcell and Debra B. Whitman, Domestic Social Policy Division 
Abstract: According to data collected by the Federal Reserve Board, 45% of households in which the householder or spouse was employed contributed to employer-sponsored retirement plans in 2004, and 58% owned a retirement account of any kind. Among married-couple households in which the householder was under age 35, the median balance in all retirement accounts owned by the household was $19,000 in 2004. Among unmarried householders, the median retirement account balance in 2004 was just $7,000. Among married-couple households headed by individuals between 45 and 54 years old, median retirement assets in 2004 were $103,200. Unmarried householders aged 45 to 54 had a median balance of $32,000. Most households that participated in defined contribution plans in 2004 contributed between 3% and 10% of pay to the plan. Younger households with median earnings contributed about 5% of pay, while median-earnings households 45 and older contributed about 6% of pay. The report also presents the results of an analysis of the amount of retirement savings that households might be able to accumulate by age 65 under a number of different scenarios.
Pages: 37
Date: January 29, 2007