oregonsaves sounds like a solution...oregonsaves sounds like a solution oregonians are facing two...

MANY OREGONIANS WORRIED ABOUT HAVING ENOUGH FOR RETIREMENT – OREGONSAVES SOUNDS LIKE A SOLUTION Oct. 2017 1

Wouldrecommend tofriend/family

78%

Stronglysupport

52%

Some-

what

support27%

NeitherSupport/Oppose

7%

Strongly/somewhat oppose

7%

Not sure6%

Refused1%

MANY OREGONIANS WORRIED ABOUT HAVING ENOUGH SAVINGS FOR RETIREMENT —OREGONSAVES SOUNDS LIKE A SOLUTION

Oregonians are facing two big challenges to our financial future: we aren’t saving enough for retirement, andmany of us don’t have access to the tools that can help us save. OregonSaves is a first-of-its-kind retirementsavings option that aims to fill in these gaps. About one million Oregon workers are potentially eligible for theprogram because they don’t have access to a retirement savings plan from their employer.1 OregonSaveswould give workers who don’t have access to an employer sponsored plan the chance to put away part oftheir paycheck in an individual retirement account.

Based on the results of a DHM survey commissioned by AARP, 1,003 Oregonians ages 18 to 64 indicateOregonSaves sounds like common sense. OregonSaves is ideally positioned to give people who are eligible forthe program the opportunity to save. In fact, findings suggest that Oregonians younger than age 35 may be anespecially important target for the program: they report having little saved for retirement and they areunlikely to have an employer plan available to them. OregonSaves is also attractive to those who may notbenefit directly but are concerned about local small business and the health of the state budget.

Oregonians overwhelmingly support the idea of OregonSaves

The majority of Oregonians support the OregonSaves retirementprogram, with just over half showing strong support. In fact, support isstrong despite low levels of awareness about OregonSaves: just one infive Oregonians (20%) have read, seen or heard anything about it.

Among the one in five (20%) respondents who report their employerdoes not offer a traditional defined pension or contribution plan, afterhearing a description of OregonSaves, most show interest inparticipating in the program. Moreover, among the nearly half (47%)of all Oregonians with a friend or family member who would beeligible for the program, most are likely to recommend OregonSavesto that friend or relative.

1 Source: Center for Retirement Research at Boston College. Based on Current Population Survey March Supplement 2015.https://digital.osl.state.or.us/islandora/object/osl%3A74354/datastream/OBJ/view

Q19. Do you support or oppose this program?

Eligible workersinterested inparticipating

64%Q20. Would you say you are extremely likely, very likely, not too likely, or not at all likely to participate inthis OregonSaves retirement program? (n=127 employed Oregonians whose employer does not providea pension plan or 401k/403b plan)

Q22. How likely will you be to recommend this OregonSaves retirement plan to them [family or friends]?(n=472 Oregonians who say they have family/friends working for employer that does not offerretirement savings plan like a pension plan or 401k)

https://doi.org/10.26419/res.00060.001

wmurray

Cross-out


Hope to COMPLETELYRETIRE one day

85%Q4. Thinking about your future, do you hopeto be able to completely retire one day andnot work either full-or part-time for pay?

ANXIOUS about havingenough money for

retirement

63%Q14. As you think about your finances in thefuture, how anxious do you feel about havingenough money to live comfortably throughyour retirement years? Are you…

Oregonians are both hopeful and anxious about their financial future

Oregonians across the board have both expectations and fears about life afterretirement. Like most American workers, the majority (85%) of Oregonian workershope to completely retire from work one day. When asked at what age they thinkthey will retire, Oregonian workers estimate retiring at 64.1 years old.

Still, as they consider retirement, working Oregonians indicate considerable worryabout the future. Almost two in three (63%) are anxious about having enoughmoney to live comfortably through their retirement years, with over a quarter(27%) saying they are ‘very’ or ‘extremely’ anxious.

While nearly two-thirds (64%) of those younger than 55 are ‘very’ or ‘extremely’ or‘somewhat’ anxious about their finances in the future, and just over half (56%) ofthose ages 55 to 64 anxious about their financial security in retirement.

Q14. As you think about your finances in the future, how anxious do you feel about having enough money to livecomfortably through your retirement years?

65% 64% 56%

31% 35%42%

18-34 35-64 55-64

Not very/ Not at allanxious

Ext/ Very/Somewhat anxious


Oregonians want to save money, but they can’t always follow through

Most Oregonians endorse the idea of people saving money for retirement while they are still working, withnearly six in ten (58%) saying it is ‘extremely important’ and another third (35%) saying it is ‘very important’.However, opinions don’t always correspond with reality. Among those who provided their savingsinformation, over half indicate they have less than $25,000 in savings. One in ten (10%) have less than $500saved. In addition, most younger Oregonians have less than $25,000 saved and a considerable proportion ofthose ages 35 and older currently have less than $25,000 in savings (41%).

$100k ormore

$25k –$100k

Less than$25k

Q12. Finances are a private matter and I want to respect that privacy. Rather than ask anything specific about your total savings, please just stop me when I readthe broad range that includes in total, about how much money you currently have in savings and investments. Please include savings, certificates of deposits, stocks,bonds, mutual funds, employer-sponsored retirement savings plans, and other investments, but do not include the value of pension plans or your primary residence.

Among all adult Oregonians, personal savings are low across the board. While three in five (61%) say they aremaking regular contributions to a personal savings account, fewer are contributing to personal retirementsavings plans like an individual retirement account (IRA) (33%) or to personal investments in stocks or mutualfunds (24%). Personal debt could be inhibiting saving money: nearly two in five (37%) have a mortgagepayment, over one quarter (27%) have a credit card balance, a third have an auto or motorcycle loan (32%),and one in five (20%) are paying off a student loan.

** See Q12 in Annotated Survey – 26% refused to provide their current amount of savings and investments and 6% say not sure/don’t know

6%

15%

8%

11%11%

9%

8%

5% 5%6%

4%

7%

4%

2%

$0 $1M or more

(55%) have $25k or less in savings**

79%

41% 41%

10%

22% 21%

30% 35%

18-34 35-54 55-64

4 in 10 Oregonians over age 35 have $25Kor less in savings**


Key target markets for OregonSaves: Younger workers, those with less opportunity to save

How manyOregonWorkers…

All OregonWorkers

EligibleWorkers

Are under age 35

Have an incomeunder $30k

Have less than$10k saved

The Oregonians who are eligible forOregonSaves—those whose employers don’toffer retirement plans— look different from theOregon workers as whole. Over half (54%) ofthis eligible group is under the age of 35, nearlyhalf report an annual income of less than$30,000, and just over two-thirds of them saythey have less than $10,000 in savings set asidefor retirement. Moreover, two in five (40%) saythey are not making regular contributions to asavings account or putting money awayelsewhere.

Those Oregonians who are eligible for a state retirement savings plan (those whose employers don’t offerretirement plan) may be less prepared to retire, but their hopes and expectations around retirement areundiminished. Data from this survey show that most (78%) say they hope to stop working completely, and onaverage, they expect to be able to stop working at the age of 65. Still, anxiety is more pitched for this group –four in ten (41%) say they are either ‘extremely’ or ‘very’ anxious about having enough money saved forretirement.

Indeed, data from this survey show that most - working and retired – wish they had more money saved fortheir retirement years (83% of those working; 77% of those retired).


Oregonians see many reasons to support OregonSaves apart from their personal situation

CONCERNED aboutsome retirees having

to rely on publicassistance

75%Q17. How concerned are you as ataxpayer that some Oregonresidents have not saved enoughmoney for retirement and couldend up being reliant on publicassistance programs?

Oregonians understand that what OregonSaves aims to address could have an impact onthe state as a whole. When asked to think about retirement savings as a taxpayer, astrong majority says they are concerned that people who haven’t saved enough may endup reliant on public assistance programs, with almost half indicating they are ‘extremely’or ‘very’ concerned. Interestingly, high concern does not vary across political party lines.

Oregonians see benefits for business, as well. When asked if they agree or disagree thatsmall businesses could attract and retain quality employees to stay competitive if theyoffered a retirement plan, most agree with 45 percent saying they ‘strongly agree’.

Overall, it’s clear that the constituency for OregonSaves is not limited to those whomight end up participating. The demographic groups with the strongest rate of supportfor the program include higher-income and more educated people, even as these groupsare more likely to have robust retirement accounts and access to an employer-sponsored plan.

AGREE OrgonSavescould help small

business in the state

79%Q18. Do you agree or disagreewith the following statement:“Being able to offer a voluntary,portable, retirement plan wouldhelp local small businesses attractand retain quality employees andstay competitive.”

Research Methodology and Statement of Limitations: DHM Research conducted a telephone survey of 1,003 Oregonresidents aged 18 to 64. The survey fielded from July 27 to August 3, 2017, and took approximately 15 minutes tocomplete. Respondents were contacted by a live interviewer from a list of registered voters, which included cell phones.In gathering responses, a variety of quality control measures were employed, including questionnaire pre-testing andvalidation. Quotas were set by age, gender, and area of the state to ensure a representative sample. The margin of errorfor this survey is ±3.1%.


AARP/OregonSaves Annotated Survey

July 27 to August 3, 2017

18-64 year old Oregon residents

N=1,003; ±3.1% margin of error

Hello, this is ______ calling from (NAME), a national opinion research firm. We are not telemarketers and are not trying to sell

you anything. We are interested in your thoughts about saving money for retirement in Oregon. Your views are very

important and we would greatly appreciate your participation. Your personal responses to these questions are confidential

and a summary of the combined responses of all respondents will be made available in the next few months.

SCREENER

S1. Our study is interested in the opinions of certain age groups. Could you please tell me your age as of your last birthday?

Response Category n=1003

18-24 9%

25-34 28%

35-54 42%

55-64 22%

65+ --

Refused/Missing --

S2. And just to confirm, are you a resident of Oregon?


Yes 100%

No --

S3. GENDER – RECORD BY OBSERVATION. ASK ONLY IF ABSOLUTELY NECESSARY: “To ensure it is recorded accurately,

could you please state your gender?”


Male 50%

Female 50%

Non-binary or gender non-conforming --

Refused/Missing --


EMPLOYMENT STATUS

1. I’d like to ask you a few general questions about your work status. Which of the following best describes your current

employment status? Are you… (READ EACH ANSWER CATEGORY)


Self-employed full-time 12%

Self-employed part-time 5%

Employed full-time 48%

Employed part-time 14%

Retired and not working at all (SKIP

TO Q7)6%

Unemployed and looking for work

(SKIP TO Q4, THEN GO Q7)5%

Not in the labor force for other reasons

(SKIP TO Q7)9%

(DON’T READ) Not sure/Don’t know

(SKIP TO Q7)0%

(DON’T READ) Refused (SKIP TO Q7) 1%

2. And do you do something to earn extra money that is not your main source of income or work at another job?


Yes 14%

No 85%

(DON’T READ) Not sure/Don’t know 0%

(DON’T READ) Refused 0%

3. (If Q2 = 1) Can you tell me what you do? (OPEN)


Maintenance, repairs 9%

Internet-related 8%

Second job, part-time work 8%

Lessons, teach classes 7%

Coach 6%

Babysitting, child care 6%

Artist, arts, crafts 6%

Landscaping 4%

Farming, livestock 4%

Animal care 3%

Customer service 3%

AirBNB 3%

All other responses 2% or less

Refused 5%


FINANCIAL RETIREMENT READINESS

4. Thinking about your future, do you hope to be able to completely retire one day and not work either full-or part-time for

pay?


Yes 85%

No 9%

(DON’T READ) Haven’t thought about

it/Don’t know6%


5. And at what age do you think you’ll be able to completely retire and no longer work? (Open)


Mean age 64.1

Don’t know 7%

Refused 6%

6. (ASK ONLY IF Q1= 3 OR 4 EMPLOYED) Which of the following ways to save for retirement does your current employer

provide…do they provide? (MULTIPLE RESPONSES ALLOWED) (READ EACH ANSWER CATEGORY)

A. A traditional pension plan- a defined benefit plan? (If asked, a defined benefit plan supplies retirees with a monthly

income, typically based on a formula of salary and years of service. It is not a 401(k) plan).

B. A 401k or 403b defined contribution plan? (If asked, a defined contribution plan allows you to make contributions from

your salary to an individual account set up in your name.)


Yes, Plan A 26%

Yes, Plan B 51%

(DON’T READ)My employer doesn’t

offer a plan20%

(DON’T READ)Don’t know/Not sure 8%

(DON’T READ)Refused 1%

(ALL RESPONDENTS) Are you making regular contributions to any of the following:(Rotate 7-9, read 10 last)

Response Category Yes No

Not sure/

Don’t know Refused

7. A personal retirement savings plan such as

IRA or thrift savings plan33% 63% 1% 3%

8. A personal savings account 61% 35% 0% 4%

9. Other personal investments in stocks,

mutual funds24% 72% 1% 3%

10. Something else 14% 81% 3% 3%


11. In your opinion, how important is it for people to be able to save money for their retirement years while they are working?


Extremely important 58%

Very important 35%

Somewhat important 5%

Not very important 0%

Not important at all 1%



12. Finances are a private matter and I want to respect that privacy. Rather than ask anything specific about your total

savings, please just stop me when I read the broad range that includes in total, about how much money you currently have

in savings and investments. Please include savings, certificates of deposits, stocks, bonds, mutual funds, employer-

sponsored retirement savings plans, and other investments, but do not include the value of pension plans or your primary

residence. Is it..?

Response Category n=1003 n=685

(DON’T READ) Nothing in savings 4% 6%

Less than $500 10% 15%

Less than $1000 6% 8%

$1000 but less than $5000 8% 11%

$5000 but less than $10,000 7% 11%

$10,000 but less than $25,000 6% 9%

$25,000 but less than $50,000 5% 8%

$50,000 but less than $75,000 4% 5%

$75,000 but less than $100,000 3% 5%

$100,000 but less than $150,000 4% 6%

$150,000 but less than $200,000 2% 4%

$200,000 but less than $500,000 5% 7%

$500,000 but less than $1,000,000 3% 4%

$1,000,000 or more 1% 2%

(DON’T READ) Not sure/Don’t know 6% --

(DON’T READ) Refused 26% --

13. Do you currently have any of the following types of loans or obligations….. (MULTIPLE RESPONSES ALLOWED)?


A credit card balance that is not paid in full every

month?29%

A mortgage payment? 37%

A student loan? 20%

A loan that you pay on a vehicle – like a car, truck or

motorcycle loan?32%

Cash that you owe to other family or friends? 4%

(DON’T READ) None of these 25%




14. As you think about your finances in the future, how anxious do you feel about having enough money to live comfortably

through your retirement years? Are you… (READ EACH ANSWER CATEGORY)?


Extremely anxious 11%

Very anxious 17%

Somewhat anxious 35%

Not very anxious 21%

Not at all anxious 14%



15. Given the amount you currently have saved, do you wish you had more money saved for your retirement years?


Yes 83%

No 12%



16. Where do you currently get your financial or investment information and advice? (DO NOT READ RESPONSE LIST – IF

NEEDED, prompt with ‘Do you get them from certain people, written sources, certain media sources? What are

they’?) COLLECT OPEN-END


Family or friends 27%

Professional brokerage or financial advisor 21%

No one, I do not seek out any financial

information/advice15%

Myself 9%

The internet (general mention) 8%

Employer or union representative 6%

Bank or banker 7%

Media, TV/Newspapers (general mention) 4%

People (general mention) 3%

Insurance company/agent 1%

Classes 1%

Financial newspapers (e.g. WSJ, financial weeklies) 1%

Financial TV or radio broadcast (e.g. CNBC) 1%

All other responses Less than 1%

Don’t know/Refused 4%


17. How concerned are you as a taxpayer that some Oregon residents have not saved enough money for retirement and could

end up being reliant on public assistance programs?


Extremely concerned 16%

Very concerned 28%

Somewhat concerned 31%

Not very concerned 13%

Not at all concerned 9%



18. Do you agree or disagree with the following statement: “Being able to offer a voluntary, portable, retirement plan would

help local small businesses attract and retain quality employees and stay competitive.” Wait and ask: Is that strongly or

somewhat?


Strongly agree 45%

Somewhat agree 34%

(DON’T READ) Neither agree nor

disagree9%

Somewhat disagree 3%

Strongly disagree 2%



STATE PLAN

As you may know or have heard, the OregonSaves retirement program was recently approved by the state legislature and is in

place for implementation in the state. The program is for private sector employees who do not have access to a retirement

plan at work. The legislation would provide an opportunity for these individuals to voluntarily enroll in a retirement savings

account and make contributions to their account through automatic payroll deductions. The program would be similar to how

a 401k plan works. It would be managed by a private sector financial institution. Oregon would oversee the program with no

cost to taxpayers. The account will be portable so that participants can take their account with them if they switch employers.

19. Do you support or oppose this program? Wait and ask: Is that strongly or somewhat?


Strongly support 52%

Somewhat support 27%

(DON’T READ) Neither support nor

oppose7%

Somewhat oppose 2%

Strongly oppose 5%




20. (IF Q6=3) Would you say you are extremely likely, very likely, somewhat likely, not too likely, or not at all likely to

participate in this OregonSaves retirement program?


Extremely likely 12%

Very likely 27%

Somewhat likely 25%

Not too likely 14%

Not at all likely 7%



21. (ALL RESPONDENTS) Do you have any family or friends who are working for an employer that does not offer them a

company retirement savings plan like a pension or 401k?


Yes 47%

No 36%



22. (IF Q21=1) How likely will you be to recommend this OregonSaves retirement plan to them? Will you be extremely likely,

very likely, somewhat likely, not too likely, or not at all likely to recommend this option to them?


Extremely likely 21%

Very likely 30%

Somewhat likely 27%

Not too likely 6%

Not at all likely 8%



AWARENESS OF STATE PROGRAM

23. Before this survey, have you read, seen, or heard anything about this state retirement savings program called

OregonSaves?


Yes 20%

No 76%




24. (IF Q23=1) How did you hear about this state retirement savings program? Was it through… (Multiple responses

allowed)


Family or friends 16%

Your employer (manager, colleagues or

coworkers)10%

In a state or local newspaper 33%

TV or radio story 37%

Online/Internet 8%

Some other source – can you specify?

(RECORD ANSWER)4%



DEMOGRAPHICS

25. What is your current marital status? Are you currently (READ EACH ANSWER CATEGORY)?


Married 51%

Not married, living with your partner 6%

Separated n=4

Divorced 6%

Widowed 2%

Single and never been married 32%

(DON’T READ) Not sure/Don’t know n=4


26. IF Q25 = 1 ASK: Are you or your spouse currently a member of A-A-R-P?

IF Q25 = 2 ASK: Are you or your partner currently a member of A-A-R-P?

If Q25 = 3-99 ASK: Are you currently a member of A-A-R-P?


Yes 11%

No 87%



27. What is the highest level of education that you completed? (READ EACH ANSWER CATEGORY)


0-12th grade (no diploma) 1%

High school graduate (or equivalent) 18%

Post-high school education (no degree) 14%

2-year college degree 21%

4-year college degree 28%

Post-graduate study (no degree) 6%

Graduate or professional degree 10%


(DON’T READ) Refused/Missing 2%


28. Are you of Hispanic, Spanish, or Latino origin or descent?


Yes 6%

No 92%



29. What is your race? Are you…(READ EACH ANSWER CATEGORY)?


Black or African American 2%

White or Caucasian 84%

American Indian or Alaska Native 1%

Asian 2%

Native Hawaiian or other Pacific

Islandern=4

Other: (RECORD ANSWER) 4%



30. Do you own or rent your primary residence?


Own 55%

Rent 25%

Live with family 15%

Live with friends 1%

(DON’T READ) Something else n=4



31. Do you own a business where you employ and pay at least one person who is not family or a friend?


Yes 6%

No 92%



32. Do you currently or have you ever served in the United States Military?


Yes, currently serve 1%

Yes, served in the past 7%

No, never served 91%




33. Party (punch from sample as available) OR Do you consider yourself to be a….? (RANDOMIZE 1-3, read 4 last)


Democrat 35%

Republican 23%

Independent 42%

Something else (RECORD ANSWER) --

(DON’T READ) Not sure/Don’t know --

(DON’T READ) Refused/Missing --

34. How would you characterize your political views? (READ EACH ANSWER CATEGORY.)


Very conservative 9%

Somewhat conservative 16%

Moderate 36%

Somewhat liberal 17%

Very liberal 13%

(DON’T READ) None of the

above/something else4%



35. Zip (RECORD FROM SAMPLE) OR ask: What is your 5-digit ZIP Code?

36. County (RECORD FROM SAMPLE) OR ask: And can you tell me what county you live in?


Tri-County 43%

Willamette Valley 27%

Rest of State 30%

Refused/Missing --

37. Finally, we realize income is a private matter and so rather than ask you anything specific about your income; I’d like to

ask you to please stop me when I get to the category that includes your household’s income before taxes in 2016. Was it

(INSERT AND READ EACH ANSWER CATEGORY IN ORDER)?


Less than $10,000 5%

$10,000 to less than $20,000 7%

$20,000 to less than $30,000 7%

$30,000 to less than $50,000 10%

$50,000 to less than $75,000 13%

$75,000 to less than $100,000 12%

$100,000 to less than $150,000 9%

$150,000 to less than $200,000 4%

$200,000 or more 3%



That was our last question for tonight. Thank you very much for taking the time to help us out. Have a great day/night!!


AARP is the nation’s largest nonprofit, nonpartisan organization dedicated to empowering Americans 50 and older to

choose how they live as they age. With nearly 38 million members and offices in every state, the District of Columbia,

Puerto Rico, and the U.S. Virgin Islands, AARP works to strengthen communities and advocate for what matters most to

families with a focus on health security, financial stability and personal fulfillment. AARP also works for individuals in the

marketplace by sparking new solutions and allowing carefully chosen, high-quality products and services to carry the

AARP name. As a trusted source for news and information, AARP produces the nation's largest circulation publications,

AARP The Magazine and AARP Bulletin. To learn more, visit www.aarp.org or follow @AARP and @AARPadvocates on

social media.

About DHM Research: DHM Research has been providing opinion research and consultation throughout the Pacific

Northwest and other regions of the United States for over four decades. The firm is nonpartisan and independent, and

specializes in research projects to support public policy-making.

AARP staff from the Oregon State Office, AARP Research, Campaigns, State Advocacy and Strategy Integration (SASI),

contributed to the design, implementation, and reporting of this study. Thanks go to AARP staff including Jerry Cohen

and Joyce DeMonnin – AARP Oregon State Office; Sarah Mysiewicz – SASI; Patrick Hynes and Katie Gallehugh –

Campaigns; Cheryl Barnes – AARP Research. Additional thanks go to Oregon State Treasury/OregonSaves Executive

Director Lisa Massena and Public Engagement Manager, Joel Metlen; CFM Communications Strategist, Gary Conkling.

Special thanks go to DHM staff Megan Wentworth, John Horvick, and Zoe Klingmann for fielding the survey, data

tabulation, and preparation of the summary of findings.

AARP Research | For more information about this survey,

please contact Jennifer Sauer at:

202-434-6207 or e-mail [email protected]

oregonsaves sounds like a solution...oregonsaves sounds like a solution oregonians are facing two...

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