Retirement Savings Gap Reaches $14 Trillion…
It’s Time to Start Saving With a Reverse Mortgage
Retirement savings, savings in general, seem to have fallen by the wayside according to an article published by Reverse Mortgage Daily, which states that a recent report by the National Institute on Retirement Security has found that the average working household has virtually no retirement security.
The report also found that many households miss their conservative retirement savings target based on their income and age until the age of 67. If this is true, that means that the average Americans does not start to save conservatively–or make retirement plans–until they are well into their retirement and possibly facing impoverishment because of rising expenses (expected or otherwise) on a fixed income.
In fact, the collective retirement savings gap ranges from 6.8 trillion to $14 trillion for working households aged 25-64.
The report, which looks at all household finances collectively, finds that the median retirement balance is $3,000 and $12,000 for near-retirement households. The report also states that households, with at least one earner, have retirement savings less than one times their annual income. In short, retirement savings are not taking precedent with American households and the results are starting to show.
Americans continue to worry about their retirement funds, and their standard of living during retirement, but their actions speak otherwise. In order to have a comfortable retirement, you need to save as well as explore low-cost retirement plans that return a hefty profit during retirement. If not, the retirement gap can, and will, continue to grow much larger than it is today.
High living costs can possibly account for the lack of saving initiative. It’s hard to save when expenses are hitting you left and right, and your income does not supplement all your needs.
Mortgages payments account for one of the largest living expenses Americans face today, so why not use those payments to your advantage during retirement? If you are 62 years of age and older, live in your primary residence and have enough equity in your home, you can apply for of REVERSE MORTGAGE.
The equity in your home is a source of untapped wealth that can support your current standard of living during retirement without the hassle of monthly payments worry about taxes or monthly payments (like a mortgage).
The 2007-2009 recession had hit hard older Americans’ retirement funds, but there is a solution. Before you began to struggle to save again, consider a reverse mortgage during your retirement. It might be what you’re looking for.
If you think a reverse mortgage is right for you, let us know at PS Financial Services by calling (888) 845-6630 or sending us an email at info@PSReverseMortgage.com. We do not pressure those who inquire.