Self-employed individuals have to juggle the many responsibilities that come with being their own bosses. Planning for retirement can get lost in the shuffle.
Americans have a hard time saving, even when most have ready access to retirement plans at work. In 2013, the National Institute on Retirement Security released a report titled “The Retirement Savings Crisis,” which estimated that about 45 percent of U.S. households had no assets in retirement savings accounts. Of those that did, most fell short of the amount needed, with a median balance of only $3,000.
That same year, TD Ameritrade conducted a survey of the savings habits of self-employed people and traditional employees, which painted just as bleak a picture. Only 36 percent of traditionally employed individuals polled responded that they were saving regularly for retirement or were doing so to the extent that they would like. Thirty-one percent of selfemployed respondents reported that they were saving regularly.