The Federal Reserve says 40% of people have no retirement savings, could robo-advisors help?
Anything that keeps me from having to physically do something is a win in my book.
There is quite a bit of tech out there now that is helping those who may not have a financial background better understand things in the sector. Whether it is using an app like Acorns or buying stocks through Robinhood, the tech is there and starting to reach a larger percentage of people.
The same goes for retirement, something that many people in the younger generation simply do not care about because quite frankly, it’s difficult to envision the next 40 years when you’ve only been alive for 18. That is no fault to them, it’s just how it is. Fintech does have one growing sector that could help both the young and old better plan for their latter years, and that is through the help of robo-advisors.
Take for example a recent survey from EverQuote. While the survey is packed with quite a bit of interesting statistics, like credit cards and renters insurance, it also looks at retirement plans for those recently out of college. According to the survey, 78% of recent college grads had a full-time job. Among those, 69% have access to a 401(k) plan through their job. 89% of those say they are putting money into it every month.
This is great to hear, but for those that may not have the benefits of a 401k and other job-related ways of saving, robo-advisors could help make the process of investing and retiring more accessible to those at all age. According to the Federal Reserve, about 40% of people age 18 to 29 have no retirement savings at all.
Robo-advisors like those offered by TD Ameritrade can quickly and smartly automate your investment avenues to set you up for the best future possible – because nobody wants to work into their 70s.
For more stats on college grads and money, the full survey from EverQuote is available here.
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