How is it that Americans are so ineffective at saving for long-term goals, such as retirement?

After 17 years of talking with people about this topic, I have heard several theories. Some say it’s our love affair with consumption, others mention our lack of financial acumen; yet others believe it’s our inability to stay the course through the economic ups and downs.

Day after day, year after year, we are admonished by scores of financial experts that the time is now to step up our personal savings rate -- especially for things such as retirement.

And yet each year, the news gets a bit worse. According to the Federal Reserve, our national savings rate has plummeted from 7 percent to negative territory in just five short years. And to make matters worse, companies are reducing their pension obligations by the truckload and shifting the financial responsibility to millions of workers.

In a recent New York Times story (More Companies Ending Promises for Retirement), several leading experts commented on this significant shift. Peter Capelli, a professor at the Wharton School at the University of Pennsylvania called the switch from a pension plan to a 401(k) program, "the most visible manifestation of the shifting of risk onto employees."

How do you think we are doing with the additional responsibility of managing our retirement savings? Not too well. According to the Employee Benefit Research Institute, 55 percent of Americans ages 45 to 54 have saved less than $50,000 for retirement. What’s odd is when Americans were asked about their savings priorities, 69 percent said their No. 1 savings goal was retirement.

When I asked a friend the other day why he thought Americans were having so much trouble getting traction in this area, he offered the following. "We are in denial," said Jeff. "Every year, we say 'this is the year I’m going to get going and develop a plan for retirement,' but the climb is so steep we never take the first step."

No matter how you slice it, the responsibility for attaining any kind of long-term financial success rests squarely on the shoulders of working Americans. Given this economic reality, there is no time like the present to sharpen your focus and develop a plan for long-term saving goals. After all, nothing makes money like time.

When workers were asked in a recent survey what method they used for projecting their financial needs in retirement (e.g. financial advisor, the Internet, etc.), 46 percent -- the top answer by a mile -- said 'they guessed.' Eliminate the guesswork by using the following Web site and click on Ballpark Estimate or calculators (page down for retirement calculators). Then, talk with a reputable financial advisor to help you plan for a successful retirement. A good advisor can go a long way in helping you sift through all your retirement options.

How will it feel to make positive steps toward saving for retirement? While the immediate answer might be "fantastic," be sure to think a bit deeper about the question. Some additional benefits, such as reduced stress levels, might also occur with your new, more intentional approach.

Where will the money come from? The average household expenditure for food away from home in 2004 was $2,434, or $974 per person. Source: National Restaurant Association

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