Thirty percent of workers have more credit card debt than retirement funds
The John J. Heldrich Center for Workforce Development has recently released a report titled, "The Anxious American Worker" which addresses the state of American employees. This report not only looks into the satisfaction that workers have with their jobs and with health care, but also who the workers blame and who they believe should fix the current problems facing employees. The director of the Heldrich Center describes the findings of the report as a decade of un-addressed concerns, and a call for help from American workers.
Perhaps the most shocking portion of the report dealt with debt and retirement. The report found that almost a third of American workers had more credit card debt than funds in their retirement accounts!
Even more surprising was that this was not limited to only lower income workers; one in five high income employees carries more debt on their MasterCard than invested in their retirement. Statistics like this are one of the biggest arguments against any kind of debit card linked to worker's retirement accounts.
I find it very troublesome that so many individuals have more debt in credit cards than they do in retirement accounts, especially due to the reality that Social Security won't be enough to support many of these people in retirement. If 25% of workers are dissatisfied with health care now, imagine how high that number will be when broke retirees begin to strain the system in the years to come. I can only hope that the presidential candidates are paying attention to these figures as they plan how they will run the country next year.



Reader Comments (Page 1 of 1)
9-03-2008 @ 9:45PM
Paul said...
I think you have hit on the untold truth of our economy- we are overleveraged
I also would add that with all the refinancing that has occured in the last decade I feel most Americans above 50 will not be able to pay off their mortages before they stop earning an appreciable income-- couple that with no retirerment and we are in sore shape
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9-05-2008 @ 11:10AM
Steven said...
You have the right assement of our economy!
My wife and I been tracking our debt levels over the last couple of years and notice an alarming increase while even meeting on time payments with extra money!
We owed 3 creditcards, 1 student loan and a home equity loan .
Not to mention our mortgage.
We are lucky, we use some extra savings and paid off and closed our 2 creditcards and student loan. Also, we paid down our home equity loan and last creditcard!
Now we feel we can focus on our savings. A nice feeling to know we are no longer slaves to our bank masters.
To everyone reading this, good luck and work to free yourselfs from beholding to others.... who ever they are..
Now if we all think this way , maybe, just maybe we can get our goverment to do the same
9-15-2008 @ 8:15PM
mark c said...
need help on a target credit havent made a payment 4 six months what should i do and will i get in some legal problem
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9-19-2008 @ 2:10PM
KZ said...
i ain't in that 30 percent. i know how to mange my cash
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10-15-2008 @ 7:16AM
Bryce Burson said...
You should read Dave Ramsey's "Complete Money Makeover". I paid off a bank loan, two credit cards, and half a car not in one year. Sacrifice, disciplin, and common sense was all it took. I'm close to being debt free and I used to have quite a bit in 401k until the Stock Market crashed. We did this to ourselves... We should get ourselves out and have minimal govt. intervention.
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10-15-2008 @ 7:17AM
Josh Smith said...
Thanks I've seen it before but I'll have to check it out.