Small business owners unprepared for retirement

Rodney Brooks writes in The Washington Post
of a recent survey which shows small business owners are unprepared for retirement. He writes:

According to a new report from BMO Wealth Management, only a fraction of the nation’s 28 million small business owners are prepared for retirement. BMO called the report “startling.” According to the survey:

  • 75 percent of small business owners have saved less than $100,000 in retirement funds. In the upper age bracket (ages 45-64) the entrepreneurs were only slightly more prepared — 68 percent have saved less than $100,000.
  • Only 8 percent had saved more than $500,000, which is still not considered enough for retirement for many people.

Jason Miller, national head of wealth planning at BMO Wealth Management, says they weren’t surprised by the results. “Unfortunately, the results bear out what we see in practice,” he says. “I don’t know that there were any surprises.”

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