I've been in the industry 34 years. 18 years ago, I started my 401k advisor practice. Know what I have not heard in all that time? "I have too much money". While I have heard variations on the opposite (ie, I don't have enough, I need to keep working, etc.), I have not had anyone say to me, "Timothy, I have too much money".
I thought about this as I reflected on a Vanguard study sharing that the five million Americans surveyed saved an average of 7.4% to their retirement plan in 2023. Combined with employer match and the average savings for Americans with access to retirement plans clocked in at 11.7% which matched the high seen in 2022. A bunch of questions likely would follow.
While the savings rate is at an all time high, is that savings rate enough for the employee to retire with dignity?
How does this savings rate compare to other first world countries? (Hint: Germany's Gross National Savings Rate is 29% as of December 31, 2022)
What can be done to raise the US savings rate?
Would a fair living wage help the savings rate go up?
What can be done for Americans with no access to a retirement plan?
How do Americans become radically self-reliant with minimal help from the US Government beyond Social Security?
What I like hearing is employees who could retire telling me, "Timothy, I want to keep working. I enjoy what I do". This is much better than, "Timothy, I have to keep working. I don't have enough money". Perhaps for the Uber-wealthy, it is possible to have too much money. In that case, call me as I have an excellent list of deserving non-profits.