How does your retirement confidence compare?


A middle-aged woman smiling on the beach

Key Points

  • A new survey shows many workers and retirees are confident they will have enough to live comfortably in retirement.
  • However, both groups could benefit from more planning in key areas with support from a financial advisor.
  • Your Ameriprise advisor will provide personalized advice and simplify the complexities of retirement planning.

Learning what others are doing well in their retirement planning may help you feel more confident about your own steps.

The Employee Benefit Research Institute recently released its 2020 Retirement Confidence Survey.1 It is the longest-running survey of its kind, measuring worker and retiree confidence. Here are the highlights.

Many individuals are confident in their retirement preparations

Responses showed many workers and retirees are confident in their ability to cover the cost of retirement.

Regarding medical expenses in retirement, nearly two-thirds of U.S. workers feel sure they’ll have what they need. Notably, their confidence in this area increased year-over-year.

While retirees remain more confident than workers, overall their confidence decreased significantly: 70% this year compared to 80% last year.

Yet few have calculated the retirement income they’ll need

Despite relatively high confidence about retirement, there are areas where workers lack planning. Half have tried on their own to calculate how much to save for retirement, and fewer than four in 10 have planned for emergency expenses.

Prioritizing goals  

Debt and competing financial priorities are preventing some workers from achieving their saving goals, including the ability to:

  • Save for retirement
  • Save for emergency expenses
  • Participate in an employer savings plan or other benefits

An advisor can help you strike the right balance among your financial goals.

Income stability remains important

Workers continue to prioritize a stable retirement income. It’s also a main priority among retirees. Your advisor can recommend solutions for your situation, such as guaranteed income from an annuity.

All guarantees are subject to the claims-paying ability of the issuing company and, on variable annuities, do not apply to the performance of the investments in the annuity which vary with market conditions.

 

Remain confident with support from your Ameriprise advisor  

Your financial advisor is committed to providing personalized advice that supports your goals and simplifies retirement planning. According to EBRI, retirees rely on advisors more than family, friends, online calculators and tools. Among workers who are not currently working with an advisor, four in 10 expect to do so in the future — an increase over three in 10 last year.

Ameriprise advisors take the time to understand what’s truly important to you. You can expect:

  • 1:1 financial advice based on your goals and needs
  • Personalized recommendations for a diversified portfolio and solutions to help protect you from uncertainty
  • Regular reviews of your goals, progress and investments
  • Anytime access to your goals and investments, and smart technology to help you stay on track

 

1 2020 Retirement Confidence Survey. Employee Benefit Research Institute, April 2020.