For many, retirement isn't right around the corner as they had previously thought.  Many baby boomers at the age of 65 have determined that they better continue to work because their retirement has shrunk

Kathy Corrigan a 64-year-old lost her job last year.  She had already been thinking about retirement after a 25 year career,  but when she sat down and looked at her savings, she realized she took a 30 percent hit since the market meltdown.

Many Americans just like Kathy have crunched the numbers and understand that because retirement savings have disappeared, pension funds are being squeezed and social security has endless problems, they will not be retiring to a post-career of leisure.

Despite the fact that many want to retire, a recent survey in April by the Employee Benefit Research Institute found that 53 percent of American workers have put away less than $25,000 in retirement savings and investments.  Some 20 percent reported that they had saved less than $1,000.  However, these figures are not including home equity, and the value of their pension plans.

Many Americans do not very much saved up, but this is partly due to the fact that many 401(k) investors between 56 and 65 had 
90 percent of their savings in stocks at the end of 2007.  Needless to say, a significant chunk of their 401(k) is now gone.  Now these Americans are trying to save more money; in order to cover rising living expenses, and increased longevity.

If we knew how long we were going to live then we would know how much money we need to save. Since more workers are going to keep 
working past 65, the income helps pay for the extras in life.  Many older workers have their homes paid for, families raised, and they can live comfortably on a lower salary.

The moral of the story is, make sure you start saving at a young age.  Start making monthly payments into a retirement or savings account.  You never know how long you will live or what condition you may be in so be prepared for large medical expenses as well, and make sure your house is paid off before retirement.  Be prepared for retirement and whatever else life throws at you. 

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