Many middle-income Americans not using professional retirementadvice wrongly think they can plan without help, don't have enoughassets to require an advisor or can't afford advisor's fees, according to a newBankers Life and Casualty Company Center for a Secure Retirementstudy.

|

Of the 54 percent of respondents who don't receive professionalguidance, 47 percent say they could plan for retirement without anadvisor, despite feeling retirement planning is complex andoverwhelming.

|

"Many people set aside too little time for planning," says ScottPerry, president of Bankers Life and Casualty Company, a nationallife and health insurer. "The study found that while those whoworked without the help of an advisor enjoy planning on their own,63 percent devote less than one hour a month to retirement planningand over 36 percent spend no time at all."

|

For the middle-income Americans without an advisor, two-fifthssay they don't have enough assets to need professional help while20 percent say they didn't know what the minimum amount would be.The remaining respondents believe at least $200,000 in assets isnecessary to employ an advisor.

|

However, all 10 of the national financial and insurance firmscontacted by the CSR say they would address retirement planningwith anyone having $2,500 or less.

|

Twenty-three percent of respondents also say they can't affordan advisor's services, even though 32 percent are unaware of howmuch the services cost.

|

"It's these misconceptions that are preventing people fromgetting the retirement guidance they may need," Perry says. "Weencourage everyone approaching retirement to put careful thoughtinto their preparations, whether it's spending the time necessaryto thoroughly research on their own or working with a trustedadvisor to determine a plan that fits their specific needs andgives them a high level of comfort when thinking about theirfuture."

Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.

  • Critical BenefitsPRO information including cutting edge post-reform success strategies, access to educational webcasts and videos, resources from industry leaders, and informative Newsletters.
  • Exclusive discounts on ALM, BenefitsPRO magazine and BenefitsPRO.com events
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.