The AARP is sounding the alarm, warning that many New Jerseyans are facing a “perilous financial situation” as they approach retirement. Not only is the organization urging the state to honor public pension commitments, but it says other legislation is necessary to encourage more reliable retirement savings.
But it could be a little late for some who are soon-to-be retired. AARP cites a survey by the National Institute on Retirement Security which demonstrated that the danger is not limited to public pensions.
The average 401k balance in New Jersey is $29,000, according to the survey, and that number has not increased since 2000. Nationally, the typical working-age household has only $3,000 in retirement assets and even those households with people who have already retired only have $12,000 on average.