American pre-retirees between the ages of 55 and 64, with median income and retirement savings, could replace as much as two-thirds of their on-the-job earnings in retirement, despite increased costs for generating retirement income, according to BlackRock’s new retirement readiness analysis. The analysis, unveiled in the firm’s inaugural “CoRI Retirement Indexes Analysis,” uses BlackRock’s CoRI Retirement Indexes, which measure the estimated cost of future retirement income and incorporate data regarding U.S. workers’ median income and retirement savings.
According to the analysis, 55-year-olds are positioned best compared to 60- and 64-year-olds, having already saved enough to replace 69% of the median income. Sixty-year-olds have the potential to replace 64% of their pre-retirement income, the analysis shows, while 64-year-olds have enough saved to replace only about 59% of their income.
John Adams is a writer for NAPA Net.
