More than a third of Americans say they trust financial advisors most when it comes to understanding retirement issues, LIMRA reported Friday. The survey noted, however, that fewer consumers said they would seek advice about generating retirement income or managing risks and expenses in retirement.
“Many of today’s retirees and future retirees will not be able to depend on a pension or a retirement health plan,” Matthew Drinkwater, associate managing director for LIMRA retirement research, said in a statement. “So it is particularly troubling to see that consumers are not as interested to learn how to generate retirement income or manage risks like health care, which will be essential for financial security in retirement.”
Drinkwater is optimistic though that despite many people being uninformed about generating retirement income, investing retirement assets and managing risks and expenses in retirement, the “good news is people are willing to turn most often to financial planners/advisors to seek help when planning for retirement.”
LIMRA reported that current retirees are more likely to say they trust their advisors for help understanding investing retirement assets than they were to say they trust them for help generating retirement income or managing risks and expenses in retirement.
Young workers were more likely to say they trust their family, friends and coworkers for help understanding investing retirement assets, but found they also turn to their employers, financial websites and their retirement plan providers for help with some retirement issues.
Earlier research from LIMRA found that less than half of Americans are planning for a retirement that could last 20 years or more and few have planned for how they will pay for things like health care, long-term care, rising taxes and inflation.
The biggest risk many will face, according to the company, is simply running out of assets. LIMRA found less than 35% of respondents feel they are saving enough to last them through their retirement years.