Main Street investors, who tend to be younger, are more concerned than their Millionaire counterparts that they are presently not saving enough to meet their retirement goals.
At least half of millionaires have received advice from their financial advisor about planning for retirement, according to new wealth level studies.
Fifty percent of Millionaires with a net worth between $1 million and $4.9 million said they have received this advice from their financial advisor, while 53 percent of investors with a net worth between $5 million and $24.9 million report receiving advice on planning for retirement.
Forty-four percent of Main Street investors with a net worth between $100,000 and $1 million report receiving this advice. Seventeen percent said they will seek this advice in the future, not surprising as these investors tend to be younger.
A majority of Affluent investors surveyed by Millionaire Corner are confident that they will have sufficient income to live comfortably during their retirement, This confidence increases with wealth. Fifty-eight percent of Main Street investors are confident they will have enough retirement savings to sustain them through their senior years, compared with 81 percent of Millionaires and 89 percent of the Ultra High Net Worth
Main Street investors are, not surprisingly, more concerned than their Millionaire counterparts (27 percent vs. 9 percent) they are not presently saving enough to meet their retirement goals.
Separate Millionaire Corner surveys have reinforced that among Affluent investors, not saving enough for retirement is their biggest financial regret, while running out of money in retirement is their greatest financial fear.
These concerns may be justified, according to the Employee Benefit Research Institute’s 2013 Retirement Confidence Survey, which found that just over half (51 percent) of workers who responded to the survey were very or somewhat confident that they would have enough money to live comfortably through their retirement years. This is down from 72 percent in 1995.
A majority of respondents said they had less than $25,000 in savings and investments, not including the value of their primary residence, while almost half (46 percent) reported having less than $10,000 savings and investments.
A slightly higher percentage of Main Street investors surveyed by Millionaire Corner are worried this year about being able to retire when they want to (61 percent vs. 51 percent last year). Getting adequate advice in planning for retirement that will allow them to achieve their financial goals is heightened among those younger than 45 years-old (38 percent vs. 31 percent of respondents overall).
Donald Liebenson writes news and features for Millionaire Corner. He has been published in the Chicago Tribune, The Chicago Sun-Times, The Los Angeles Times, Fiscal Times, Entertainment Weekly, Huffington Post, and other outlets. He has also served as a marketing writer for Chicago-based Questar Entertainment and distributor Baker & Taylor.
A graduate of the University of Southern California, he is married with a college-age son. He also writes extensively about entertainment.