Survey: Americans Changing Their Retirement Plans Because of the Economy

Defined benefit pension plan

This economic crisis is a hard problem for each one. A great problen has employer's that keeps the defined benefit pension plan and has to make cash contribution to mantain funded this plan. Is an ERISA requirement to keep funded plan. But how much time could survive these employers. Although with a frozen defined benefit pension plan exists the funded required.

Tonia Martin @ Oct 27, 2008 18:34:38 PM

Defined benefit pension plan

This economic crisis is a hard problem for each one. A great problen has employer's that keeps the defined benefit pension plan and has to make cash contribution to mantain funded this plan. Is an ERISA requirement to keep funded plan. But how much time could survive these employers. Although with a frozen defined benefit pension plan exists the funded required.

Tonia Martin @ Oct 27, 2008 18:33:37 PM

How do you spell "Bubble" ???

How do you recognize a bubble? The easiest way is to inquire how the person sitting next to you on the airplane likes his Blackberry and get an unsolicited 30 minute lesson on how to "flip" houses. I immediately thought of the broker who sold all his stocks and went to europe on hearing a hot stock tip from his shoeshine boy. Europe in the 1930's wouldn't have been the best place to go if you stayed too long but the lesson is clear. Crowd behavior is recognizable. This was 2 years BEFORE the mortgage market implosion. Previously I had heard of people getting loans with very little money and very little earnings from my boss. He had visited a mortgage company while trying to sell his first house to a renter at my suggestion. Came back flabbergasted at how easy it was to qualify. And this was 5-6 years ago! I made my last house payment the month I was laid off and am resolved to never buy another house again. If I do I will pay cash.

of KS @ Oct 16, 2008 23:26:22 PM

If only

If only people in this country would storm the two idiot greed centers that cause this problem. Or at least get the regulators and orchestrators chased out of town. Ie. Barney Frank, Christopher Dodd, Ben Bernanke, Alan Greenspan, Henry Paulson and their underlings and bosses. We might have a half chance of recovery through a plan that is beneficial to those of us (meaning everyone except those causing the problem) that need the plan to help us, not the banks whose only problem is having faith in lending. Why should the banks fear in lending to each other cause my downfall and not theirs? Let them fail and let the rich greedy money managers who have done no money managing but to skim every thing they can and leave so little for the ones who invest that money by earning it. We the people need to take some form of action or else I can guarantee this pattern WILL REPEAT AGAIN. It has happened to a lesser degree every so many years since the great deppression and this time really hard and still hitting. Why? Those who steal our gold and give us paper do it for one reason. Gold is gold and paper is paper. They have the gold and we have the paper. Now figure it out.

Tired of gov't manipulation for themselves to benefit of ID @ Oct 16, 2008 17:43:24 PM

Retirement Savings

I have been trying to rationalize this latest downturn in the stock market and as a 61 year old person ready to retire next year I am willing to extend my horizon out to afford time for the stock market to rebound. I have my IRAs (Roth and Traditional) with a money manager since the beginning of 2008 since it was taking me so much time and effort to manage things myself.

Although I understand by working longer I will increase my retirement savings, I am at a point where time is as important as money. Bottom line, at this point in my life I would like to be able to have the freedom of spending my time the way I want to vice continuing to work for the almighty dollar to increase my retirement savings that may or may not be there.

Frustrated Saver,

Bob-cat

Robert A Rinaldi of VA @ Oct 16, 2008 14:14:37 PM

16Oct

I plan to work another year and retire in 2013 with 32 years in. I'll be 63 if the Lord wills.

I have increased my 401 contribution to 15% to take advantage of these lower share prices. I'm fully diversified and so the thing now is to be patient and accumulate some cash whenever possible.

Another critical issue is health care costs, post-retirement and this picture isn't pretty either. We all need to really focus on this factor because it has a huge impact on quality of life in retirement.

Oil is now at $70 a barrell and I hope demand deteriorates to the point that OPEC chokes on it. Hell with OPEC. Let's switch to natural gas; it's cleaner, cheaper, it's abundant and it's OURS. We have enough natural gas to last another 100 years by conservative estimates. We can adapt to this and when we do,I think we will all be surprised at how fast the economy recovers.

God bless you and keep you safe.

Phillip N Messer of AL @ Oct 16, 2008 13:42:15 PM

Have you changed your retirement plans?

Yes, have left only 28.5% of IRA and 401K in stock and the rest is in money market, bonds and treasury. Was putting all new contributions ($12,000/year) into stocks, but now my new contributions are going into bonds and treasury. Will work until 66 rather than retire at 64.

E. Finley of OK @ Oct 16, 2008 10:26:23 AM

How Many Boomers Have the Cash to Buy Now?

I agree that now is the time to buy but not very many middle-class Americans can afford to do so. I lost a very good paying career position with decent benefits 4 years ago due to "Corporate Downsizing". Lost my healthcare while having what is now considered a pre-existing illness. I can't buy insurance for $5,000 as certain politicians think I can! I am working again but making nowhere near what I had been making and of course no healthcare or benefits with the new job with a "small business owner". I have had 25 years of putting cash with employer match into a 401K and I had built up a very nice sum. I did everything the "EXPERTS" said to do, rebalanced every January, kept a somewhat conservative and balanced mix in my Vanguard plan and now I am staring at a triple digit loss in my plan? At age 58 I do not have a lot of time to recoup the losses of 10/07 thru 10/08. I have stayed the course and most likely will not have the retirement that I had planned. Thankfully I am nearly debt free with only a low interest (4.75%) home equity loan that will be paid off in 5 years. I have not paid one penny of interest in the past 17 years other than on my mortgage. Now despite doing all of what I believe to have been the right choices I will pay the price for the GREED and uncontrolled spending of others. Where is the bailout for MY 401K plan? Let's go out and rescue those who made totally irresponsible decisions on buying huge homes. I say "Sell some of their toys first" and maybe they will keep their home". I will survive.

bill of PA @ Oct 16, 2008 09:51:03 AM