Uncertainty over the future of the federal Social Security system is another reason. U.S. workers generally contribute deductions from their paychecks to the Social Security fund. In theory, this money comes back to them, usually upon their retirement. But a substantial number of politicians, economists, and scholars contend that the Social Security fund is being drained faster than it is being filled, and will go broke in a number of years, leaving retirees to survive without government assistance. Regardless of its future, many people consider the retirement benefits of Social Security to be inadequate, and look for other methods of funding their retirement years.
Many employers offer retirement plans.
These plans vary in form, but generally offer an employee retirement funds that grow with continued employment. Yet this benefit is not always available to workers. A changing economy has caused some employers to cut back retirement plans or cut them out completely. Often, part-time, new, or temporary workers do not qualify for an employer's retirement plan. And individuals who are self-employed cannot choose this job benefit.