Small businesses in the USA are very concerned about the economic future

A ShareBuilder 401k survey of 500 small business owners found 63% are now very concerned about the future of the economy.

59% said that they are saving less money for personal use or for retirement compared with a year ago, and 40% said their businesses are in a worse financial situation than they were a year ago.

Many small business owners are making smaller contributions to their own 401(k) accounts, with 11% also reducing or eliminating matches for their employees.

16% of the businesses surveyed have made premature withdrawals or borrowed from their retirement accounts.

In 2007, 35% of small-business owners had some sort of retirement plan. In 2008, the number has dropped to 26 percent.

And of the 74% of businesses operating without retirement plans, 45% say they are now less likely to start 401(k) plans compared with a year ago, even though tax credits are available.

The current economic situation for small businesses, of reduced credit being available to them and slower payments from their customers, is hurting them.

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