A growing number of Americans recognize that they're not saving as much as they should for retirement, a shift in attitudes that experts hope will lead to improved saving practices in the future.

A recent survey from retirement services provider Fidelity Investments found that 83 percent of workers recognized that they were saving too little for retirement, up from 78 percent a year ago. The survey also found that American workers were saving at a rate that would allow them to only replace about 57 percent of their pre-retirement income after they stop working -- a figure factors in Social Security benefits, pensions, workplace savings and private savings.

"We are hopeful that these findings reflect the beginning of a shift within the American mindset from low awareness and significant inertia in addressing the nation's retirement crisis to growing levels of understanding, acceptance and action," said Fidelity's vice chairman and chief operating officer Robert L. Reynolds, in a statement.

Fidelity suggests that 85 percent income replacement is a reasonable starting point when planning for retirement.

The study also found that while workers recognized that health care costs will be their first or second largest expense in retirement, many had underestimated the projected costs.

Data for the index is collected twice annually through a national online survey of more than 2,000 Americans who are working full-time, are 25 years or older, earn $20,000 a year or more, are married to individuals also not yet retired, and are the financial decision-makers in their household.

Register or login for access to this item and much more

All Accounting Today content is archived after seven days.

Community members receive:
  • All recent and archived articles
  • Conference offers and updates
  • A full menu of enewsletter options
  • Web seminars, white papers, ebooks

Don't have an account? Register for Free Unlimited Access