What is the current state of Americans' required retirement income?

The average American now needs nearly $2 million in retirement savings to live comfortably, a 30% increase from just 5 years ago.

Healthcare costs have skyrocketed, with the average retiree now spending over $5,000 per year on out-of-pocket medical expenses - double the amount from a decade ago.

The shift away from traditional pension plans means more retirees are relying on 401(k)s and IRAs, which require significantly higher personal savings to generate sufficient income.

Life expectancy for Americans has increased by nearly 3 years over the past 10 years, meaning retirees need their savings to last longer.

Inflation has eroded the purchasing power of retirement income, with the average retiree needing 15% more income just to maintain their standard of living compared to 5 years ago.

The average Social Security benefit has only increased by 12% over the past decade, failing to keep pace with rising costs faced by retirees.

30% of Americans aged 55-64 have no retirement savings at all, putting them at risk of not being able to afford basic living expenses in retirement.

The average 401(k) balance for Americans aged 60-69 is just $195,000, which would only generate around $7,800 per year in retirement income.

Lower-income Americans face an even greater retirement savings gap, with those in the bottom 25th percentile projected to have a shortfall of over $300,000 in retirement.

The average cost of a private room in a nursing home has increased by 54% over the past 10 years, putting this essential retirement expense further out of reach for many.

The average retirement age has increased by nearly 2 years over the past decade as Americans work longer to bolster their savings.

25% of retirees report that their retirement income is less than they expected, leading to difficult lifestyle adjustments.

Women face an even greater retirement income challenge, with 80% of female retirees relying on Social Security as their primary source of income.

The number of Americans aged 65 and older is projected to grow by 30% over the next 10 years, further straining the social safety net and retirement systems.

Only 17% of Americans feel "very confident" that they will have enough money to live comfortably in retirement, down from 27% a decade ago.

Employer-sponsored retirement plans have become less generous, with the average employer matching contribution declining by 12% over the past 5 years.

The average American now spends over $4,000 per year on discretionary expenses in retirement, up 18% from a decade ago.

Nearly 1 in 4 retirees say they have had to dip into their retirement savings to cover unexpected expenses, reducing their long-term financial security.

The average retirement account balance for Americans aged 50-59 is just $174,000, well below the recommended $1 million target.

The COVID-19 pandemic has exacerbated retirement income challenges, with 15% of Americans reporting they had to delay their retirement plans.