With Halloween approaching, we’re thinking about haunted houses, ghouls, and other things that go bump in the night. The scary thing many Americans may be dealing with isn’t limited to just October but could affect them for the rest of their lives: retirement planning.
Just as clients look to you for guidance in their immediate future, they need help with long-term planning, too. Below, we look at four retirement realities and what you can do to help.
Fact: 42% of Americans will retire with less than $10,000 saved for retirement.1 (GOBankingRates 2018 Retirement Savings Survey)
What You Can Do to Help: Talk to clients about the importance of not only investing, but saving. Set realistic targets for monthly and yearly savings so they can bolster their retirement income. If they are closer to retirement age, discuss income-generation strategies that can add to Social Security distributions, and if they will need to think about working longer or continue working part-time for a few years to add to their savings.
Fact: Finances can cause negative emotions: 54% of Americans say they feel anxious about their financial situation, 52% say they feel insecure, and 48% say they feel fear.2 (Northwestern Mutual Planning & Progress Study 2018)
What You Can Do to Help: Hold regular educational events with your clients and in your community. Financial literacy events can benefit pretty much everyone, no matter their stage of life or financial situation. Showcasing your depth of knowledge on important topics can potentially lead to new clients: Attendees already can see your experience and may be more likely to work with you. Additionally, be sure to keep in regular contact with clients through email, social media, or phone calls and meetings. Share your knowledge so they can gain confidence about theirs.
Fact: The average couple will need $280,000 (in 2018 dollars) for medical expenses in retirement.3 (Fidelity)
What You Can Do to Help: In your client reviews, discuss medical history, family longevity, and any potential health-related concerns. This can help determine if there’s a need to implement long-term care insurance or annuity solutions.
Fact: Only 52% of millennials with employer-sponsored retirement plans available are making contributions.4 (Pew Charitable Trusts)
What You Can Do to Help: Walk through your clients’ employment-related retirement options and see if they’re taking full advantage. If they aren’t, and it’s not beyond their means, encourage them to up their contribution. If they aren’t enrolled in a retirement account, or if their employer doesn’t offer one, help them set up their own long-term savings account as part of your planning services.
How are you helping clients prepare for retirement?
To stay up to date about the latest trends in independent financial advice or the independent broker-dealer space, visit www.SummitBrokerage.com. If you’d like to experience the difference of working with the #1 boutique broker-dealer in the country, call us today at (800) 354-5528.
About Summit Brokerage Services, Inc.
Summit Brokerage Services is part of Cetera Financial Group. Summit Brokerage provides a broad range of securities brokerage and investment services to primarily individual investors. Summit Brokerage also sells insurance products, predominantly fixed and variable annuities and life insurance through its subsidiary, SBS Insurance Agency of Florida. Summit Brokerage also provides asset management services through its investment advisor, Summit Financial Group, Inc.
About Cetera Financial Group
Cetera Financial Group (Cetera®) is a leading network of independent firms empowering the delivery of professional financial advice to individuals, families and company retirement plans across the country through trusted financial advisors and financial institutions. Cetera is the second-largest independent financial advisor network in the nation by number of advisors, as well as a leading service provider to the investment programs of banks and credit unions.
Through its multiple distinct firms, Cetera offers independent and institutions-based advisors the benefits of a large, established broker-dealer and registered investment adviser, while serving advisors and institutions in a way that is customized to their needs and aspirations. Advisor support resources offered through Cetera include award-winning wealth management and advisory platforms, comprehensive broker-dealer and registered investment adviser services, practice management support and innovative technology. For more information, visit cetera.com.
“Cetera Financial Group” refers to the network of independent firms encompassing, among others, Cetera Advisors, Cetera Advisor Networks, Cetera Investment Services (marketed as Cetera Financial Institutions), Cetera Financial Specialists, First Allied Securities and Summit Brokerage Services. All firms are members FINRA/SIPC.
All information herein has been prepared solely for informational purposes, and it is not an offer to buy or sell, or a solicitation of an offer to buy or sell any security or instrument or to participate in any particular trading strategy.