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Middle-class retirement plans face inflation and debt stress, Transamerica says
Transamerica’s survey of more than 7,600 U.S. households found 72% took action due to financial strain, and debt repayment was the top priority for 58%.
HousingWire reports that middle-class Americans are dealing with financial strain driven by inflation and debt, with retirement savings lagging as many prioritize short-term obligations over long-term saving.
According to a Transamerica Center for Retirement Studies report, “The American Middle Class: Influences of Gender on Retirement Security,” researchers surveyed more than 7,600 U.S. residents with household incomes between $50,000 and $199,999 and found that 72% have taken action in response to financial strain, including reducing daily expenses or adding new credit card debt.
The study identified debt payoff as the top financial priority for 58% of respondents, while saving for retirement was a priority for half. It also found median retirement savings of $82,000 for men versus $49,000 for women, and said women were more likely to report burnout and prioritize covering basic living expenses.
Transamerica CEO and TCRS president Catherine Collinson warned that plans to work longer and retire later could be derailed by AI and robotics, and the report found nearly half of retirees left the workforce earlier than intended. HousingWire also notes that many respondents doubt Social Security’s future availability, reflecting broad insecurity about long-term financial stability.