A number of disconnects were found in a survey of consumers and CFPs whose findings were released Monday at the Financial Planning Association’s annual conference in Boston.
For example, while 9% of consumers surveyed said they were “very knowledgeable” on how their Social Security benefits would be determined, only 1% of CFPs believe their clients — who ostensibly should be better informed — have that level of knowledge.
The online survey, Social Security Planning in 2015 & Beyond: Perspectives of Future Beneficiaries and Financial Planners, was conducted for AARP in late June and early July, with 1,215 respondents age 45 to 64 who do not yet receive Social Security benefits but are eligible to receive them based on their work history by age 62. Among the consumers, 16% said they had a financial advisor. FPA surveyed 1,279 of its members who are certified financial planners during the same time.
In a statement, AARP President Jeannine English said that “for families and individuals looking to claim their Social Security benefits soon, this survey shows that far too many face a claiming knowledge gap potentially leaving thousands of dollars on the table.”