Many people go through their earlier years in life without giving much thought to retirement and what their future might hold. But not having a financial retirement plan in place during your later years can lead to great uncertainty in your ability to live comfortably once you leave the workplace.
The Insured Retirement Institute found that only 36 percent of baby boomers are feeling confident they will have a comfortable retirement. While 64 percent believe they will need to take a post-retirement job as an additional source of income.
A recent survey of U.S. employers also showed they lacked confidence in their employees’ readiness to retire. More than 500 U.S. companies representing more than 12 million employees were surveyed by human resource consulting firm Aon Hewitt. The study found that:
- Only 4 percent of employers were very confident their employees will have adequate retirement assets. This is a dramatic shift from 2011, when the same survey found that 30 percent of employers were very confident with their employees’ retirement assets.
- Only 10 percent of employers were very confident employees are taking the accountability needed to ensure retirement success.
- Employers are also questioning the ability of their employees to manage income once they do retire. Only 18 percent felt confident their employees will be able to manage their retirement assets.
Going through life without a retirement plan is a lot like going on a trip without a map or having a final destination in mind.
Using a financial adviser to come up with a workable retirement plan is one of the most proactive steps an individual can take toward ensuring a retirement that meets their goals and has their final financial destination in mind.
"Individuals often neglect taking the time to create a long-term strategy for retirement that properly factors in all of their needs," said Derek Overstreet, president of New Millennium Insurance Services in South Jordan, Utah. "Retirement planning should take into account your particular circumstances and goals for your retirement years."
By Alyssa Marie Vincent