4% of current retirees say they are ‘living the dream,’ survey finds

Just 4% of today’s retirees said they are “living the dream,” according to a new survey from asset management company Schroders.

And just as many — 4% — said they are “living the nightmare.”

Most of the respondents fall somewhere in between — 44% said they are comfortable; 34% said they are not great, but not bad; and 15% said they are struggling, according to the rounded results.

“The real picture of retirement is far from the dreams Americans had hoped and worked so hard for,” said Deb Boyden, head of U.S. defined contribution at Schroders.

The survey, conducted in March and April, included 2,000 adults, with almost 500 retirees. The results come as inflation is still higher than usual and rising prices have made it more challenging for retirees to make their money last.

The top concern, cited by 89% of respondents, is inflation lessening the value of their assets.

That’s followed by higher-than-expected health-care costs, with 85%; a major market downturn that may significantly reduce their assets, 76%; not knowing how to best draw down income, 69%; and outliving their assets, 68%.

“The retirement savings crisis in the United States is no longer looming: it is here, now,” said a new report from the National Institute on Retirement Security.

Americans may face a shortfall in their golden years, as many workers still lack access to employer retirement savings plans and typical retirement savings are short of matching workers’ pre-retirement standard of living, the research found.

More from Personal Finance:
As Social Security’s funds face insolvency, here’s what to watch
Why most of Warren Buffett’s wealth came after age 65
Advice about 401(k) rollovers is poised for a big change. Here’s why

One factor to blame is the decline of the availability of private-sector defined-benefit pension plans, according to NIRS, which has shifted the responsibility for saving for retirement from employers to workers.

Today’s retirees are more likely to use their own pension plan or a spouse’s pension plan for income rather than their own workplace savings account, the Schroders survey found.

It’s less likely that future retirees will have pension income to rely on, because fewer of them have pensions now than today’s retirees do, and it’s more likely that they’ll be financially vulnerable if they have…