Saving has always been a challenge for working families and older workers struggling to make ends meet. Often every dollar that comes into the household must go back out to meet a basic need. Given the current economic climate, all Americans are very worried about their own financial well-being. As a result, regardless of circumstances, many are finding ways to save despite already tight budgets. According to two government reports released by the Department of Commerce and discussed in a New York Times article, the personal saving rate in the last three months of 2008 rose to its highest level in six years.
Saving is an important concept, but if not guided by specific and realistic measures of income adequacy in retirement can be frustrating and overwhelming, ultimately, having less of an impact in the long-run.