With the danger of recession and lay offs looming large, more and more employees are delaying their retirement and working more even with lesser benefits.
According to recent surveys, around 59 percent of people who have been surveyed said that there has been a tendency among the Americans to delay their retirement plans. More people are trying to stick to their jobs due to the uncertainty about their future. Around 43 percent of the people said that they were adding to their loans and hardship withdrawals for the retirement savings plan of their company.
The medical plans have also taken a hit due to the recession. More and more companies are also cutting their medical benefits to cope up with the losses of the falling market. Experts say that this is also another reason why people are delaying their retirement plans. Health care services in America are costly and losing a job will mean paying for the medical bills from the savings.
Small business owners are also concerned about their profits and retirement savings which have been hit by the current recession. Recent surveys say that around 48 percent has made a hiring freeze while 39 percent has put a freeze in salary. 37 percent are tapping the personal assets.