Online tools are the top choice for retirement plan participants who calculate retirement income needs according to a recent survey conducted by American United Life Insurance Company. More than half (52 percent) of survey responders who have calculated how much they need to save for retirement reported using an online tool. This method ranked above other options, which included using a worksheet (25 percent), making calculations on their own (24 percent) and working with a financial professional (9 percent).
Greater than half of participants who have not calculated retirement income needs, cited not knowing how as the reason. The remainder cited they were nervous to find out how much they will need (23 percent), don’t know where to go (20 percent), and don’t have time (16 percent).
“Calculating future income can be an easy first step to planning for retirement,” said Marsha Whitehead, vice president of marketing for retirement services and employee benefits. “A simple online calculator can motivate a person to get started and keep their retirement planning going.”