A troubling new study reveals that Americaâ„¢s retirement crisis is particularly dire for blacks and Latinos.
The American retirement crisis is especially disastrous for blacks and Latinos with striking racial differences in retirement savings, according to a troubling new study.
Å“If nothing changes, the future for people of color is frightening,” said Nari Rhee, the studyâ„¢s author and research manager for the nonprofit National Institute on Retirement Security.
Å“Weâ„¢ll see increased pressure on adult children who have to take care of their parents. Weâ„¢re already starting to see that,” said Rhee.
The report titled Race and Retirement Insecurity follows other recent surveys from financial services firms with their own dire statistics documenting the general lack of retirement savings among blacks and Latinos.
Among the key findings in the report was that workers of color, Latinos especially, are much less likely than whites to be covered by employer-sponsored retirement plans.
Only 38 percent of Latino employees age 25 to 64 and 54 percent of blacks work for organizations with retirement plans, while 62 percent of white employees do.
The report also found that blacks and Latinos are far less likely to have dedicated retirement savings than white households.
Several reasons for the vast disparities in retirement savings were stated in the report.
Blacks and Latinos are less likely than whites to be employed in industries and occupations that provide high wages and workplace benefits, including retirement plans.
They are also more likely to hold part-time jobs, where retirement plans are not offered.
Additionally, blacks and Latinos tend to earn less than whites, which means they have less money to put into retirement accounts.
AHT/HJ
Source: Press TV