Many current and future retirees doubt their ability to manage their investments throughout retirement. That’s the finding of a new survey report on retirement income attitudes conducted by Western & Southern Financial Group (Western & Southern) in collaboration with LIMRA, a worldwide research, consulting and professional development organization serving the financial services industry.
Income Outcomes: A Retirement Planning Confidence Study found nearly half (47%) of retirees and pre-retirees either only slightly (30.5%) or not at all (16.7%) confident they can manage their own investments throughout retirement. Relative to other groups, significantly more female pre-retirees (56%) and low net worth respondents (55%) expressed little or no confidence, per the 988 participants ages 50 to 75 surveyed earlier this year.
“Understandably, drawing down assets after decades of building them up presents a challenge for many either facing retirement or in it,” said Jill McGruder, senior vice president and chief marketing officer of Western & Southern. “Having access to the right products, resources and guidance takes on added importance as retirement nears and begins.
Regarding the top concerns in retirement, retiree and pre-retiree survey respondents cited the same top four but ranked them differently. For retirees, their foremost worries are Social Security cuts (61%), inflation (60%), running out of money (54%) and healthcare costs (46%). For pre-retirees, their greatest fears are running out of money (70%), healthcare costs (57%), inflation (54%) and Social Security cuts (49%).
“Sustaining one’s desired retirement lifestyle requires a balancing act,” said McGruder. “On one hand, it calls for producing ongoing income for ongoing expenses, both expected as well as unplanned. On the other hand, it demands protecting asset values from risks such as inflation, market volatility, increased healthcare spending and extended lifespan.
“However, despite the…
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