The Real Retirement Crisis

<p><strong style=color: rgba(0 0 0 1)>Americans and the elected officials who represent them are worried about retirement.</strong><span style=color: rgba(0 0 0 1)> Majorities of Americans tell pollsters they fear a retirement crisis of inadequate savings and incomes in old age. Some argue that our system of 401(k)s and individual retirement accounts layered on top of a base income from Social Security is an abject failure. Only a complete reboot that expands Social Security and abandons 401(k)s can avert the retirement crisis. But what if that entire narrative is wrong? </span></p><p></p><p><span style=color: rgba(0 0 0 1)>In </span><em style=color: rgba(0 0 0 1)>The Real Retirement Crisis: Why (Almost) Everything You Know About the US Retirement System Is Wrong</em><span style=color: rgba(0 0 0 1)> Andrew G. Biggs a senior fellow at the American Enterprise Institute and former official at the White House and Social Security Administration office brings economic insights and hard data to bear on America's retirement savings situation. He finds a far more encouraging picture: Americans need significantly less income in old age than you might think. And thanks to 401(k)s taking over for traditional pensions Americans have more income in retirement than ever before. The US retirement system compares well to those of other developed countries. In fact the typical US senior is among the richest in the world. The retirement savings gap is overwhelmingly due to governments not funding benefits they have promised.</span></p><p></p><p><span style=color: rgba(0 0 0 1)>The real risk is if America's retirement success story is derailed.</span></p>