Minorities ill-prepared for retirement

Minorities, especially Latinos, are not saving enough for retirement and are less likely to be covered by an employer-sponsored retirement plan than white workers, according to a study by the National Institute on Retirement Security.The study also found that minority households have substantially lower retirement savings balances than white households, even after controlling for age and income.Nari Rhee, manager of research at NIRS and author of “Race and Retirement Insecurity in the United States,” said that younger people from all backgrounds tend to have less access to retirement plans in the workplace and that there are some geographic differences, but “even at the same age, we are seeing racial disparities.”A lot of that racial disparity can be chalked up to occupational characteristics, she said.In her report, Rhee points out that public-sector workers have greater access to retirement plans at work than private-sector workers. There is a high concentration of black workers in public-sector jobs, she said, which boosts their access, but “Latinos take a double hit: they are less represented in the public sector and work in lower wage jobs in the private sector,” she said.If the report looks at just native-born Latinos, the retirement gap shrinks, but it shines a spotlight on the fact that a lot of immigrant Latinos are left out, she said.Cultural influences can have a major impact on retirement savings, according to a report by The Principal Financial Group. Like the NIRS report, it found that there is a large subset of the Latino population that is “unacculturated,” and it is this group that has the lowest retirement plan participation rate across companies of all sizes. Read More


About robertjrussellcompanies

International Real Estate Agent * Insurance Broker * Radio Talk Show Host * Public Speaker * find out about me - visit http://www.robertjrussellcompanies.com
This entry was posted in Business, Insurance and tagged , , , , , , . Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s