Fewer than four in 10 Black Americans say they’ve saved or are saving enough for retirement according to a new survey by LIMRA.
The survey, which polled 3,000 employees, also found Black Americans were less likely than the general population to have invested in a workplace retirement account (37 per cent compared to 46 per cent, respectively) or an individual retirement account (24 per cent compared to 49 per cent). While fewer than a fifth of Black Americans said they own an annuity, they’re more likely to say they need an annuity, compared with the general population (57 per cent versus 48 per cent).
Read: Public DB pensions key to supporting women, BIPOC workers in retirement: report
Black Americans were also more likely than the general population to own life insurance (54 per cent versus 52 per cent, respectively) or permanent life insurance (72 per cent versus 65 per cent). Among these respondents, more than a quarter (28 per cent) said they’d use their cash value life insurance to supplement their retirement savings and four in 10 said the cash value of their permanent life insurance will represent a significant portion of their retirement funds.
A separate survey by LIMRA of 8,000 employees found Black Americans were more likely than the general population to express financial concerns, with 50 per cent citing retirement savings as their No. 1 concern.
Read: Employers can leverage choice, education to help close pension gap among BIPOC workers