Data & Research

Boomer Retirement Worries Grow, but Many Have not Taken Action

New research conducted by Harris Interactive on behalf of Longevity Alliance shows Baby Boomers’ worries over retirement savings have increased as economic indicators continue to trend downward, but most have not done anything to change their savings strategies to adjust to their concerns.
Reported by Rebecca Moore

The research found that 56% of all Baby Boomers (age 44-62) say they are less confident than they were three months ago that their retirement savings will last them through retirement, according to a Longevity press release. Of those with retirement savings, seven in ten said they were “less confident’ overall, with 35% indicating they are “somewhat less confident’ and 36% indicating they are “much less confident.’

However, only 39% of Baby Boomers with retirement savings said they have changed or plan to change their retirement savings strategies as a result of the current economic conditions.

Use of Financial Adviser

Of those who have changed or plan to change their retirement savings strategies, the survey found that seeking “the advice of a financial adviser or retirement planning professional’ was the top change cited (43%), followed by “re-allocate funds from stocks to more conservative investments’ (31%). Other changes sited were investing in value-priced stocks (20%), buying long-term care insurance (13%), and purchasing an annuity (12%).

The release said Longevity found some distinct differences between women and men in their survey, including:

  • Among adults of all ages, men are more likely than women to have retirement savings (78% vs. 70%).
  • Compared to male baby boomers, female baby boomers are much more likely to say they have less confidence in their retirement savings (61% vs. 49%).
  • Among those who have changed or plan to change their retirement savings, more baby boomer women than men say they have or will buy long-term care insurance to protect their assets (18% vs. 7%).

The Retirement Planning survey was conducted online within the United States between February 27 and February 29, 2008, among 2,521 adults ages 18+, of whom, 831 are Baby Boomers.

Research and other retirement planning help, including “Five Tips for Retirement Planning,’ is available at www.longevityalliance.com.