A study says a $7.7-trillion gap exists between what Americans have saved for retirement and how much they actually need. U.S. Senator Claire McCaskill (D-Missouri) says a Senate committee is considering ways to increase retirement savings.
“Unfortunately, too many Americans don’t realize that it (savings gap) is in fact a crisis,” says McCaskill.
The study, conducted by a Bipartisan Policy Center Commission (BPC), recommends increasing the retirement age to 69, modernizing the Social Security program, improving access to workplace retirement savings plans and enabling retirement rollovers so that employees do not cash out.
“One of the noteworthy goals of the BPC’s report is to provide a savings option for all workers. One recommendation focuses on a national minimum coverage standard. Another recommendation involves multiple employer plans,” says McCaskill.
The study says half of private sector workers are not enrolled in a retirement plan.
The committee will examine the recommendations to determine if future legislation will be crafted.