While consumers have access to abundant financial advice on saving and investing for retirement, many nonetheless approach their post-work years with nest eggs that fall well short of what they’re likely to need — or no nest egg at all.
Only 45% of adults ages 45 to 59 consider their retirement savings to be on track, while 52% of those ages 60 and older feel they’re heading in the right direction financially, according to a 2021 Federal Reserve Board of Governors survey released this year.
Eighty-four percent of those in the 45-to-59 group and 87% in the 60-and-older cohort reported having some retirement savings, the Fed reported.
Financial advisory clients five to 10 years from retirement may feel panicked and overwhelmed if they haven’t set enough aside. That doesn’t mean they can’t take steps to catch up and improve their retirement outlook.
ThinkAdvisor asked financial advisors to share their ideas for those who fear falling short when retirement is visible on the horizon. Specifically, we asked: What advice would you give clients if they’re five to 10 years from retirement and need to play catch-up on saving?
The answers vary from advisor to advisor — with different views, for example, on how much risk to take on — although they share common threads. Some responses have been edited for length.