Fairfax, VA (Law Firm Newswire) November 28, 2016 – A considerable number of Americans are grappling with decisions concerning investments, retirement and estate planning.
According to the Pain Points and Actions Report from Hearts and Wallets, an acclaimed data consulting firm, over 50 percent of those who responded to a poll said they were experiencing challenges in retirement planning. The respondents consisted of those in the latter part of their career (52 percent age 53-64), and those in the middle of their career (59 percent, age 40-52).
Estate planning was especially problematic for a large amount of both pre-retirees and retirees. Among all of the financial responsibilities, estate planning was the only one that a greater percentage of these groups stated was more difficult in 2016 than in the previous year. Those who described estate planning as somewhat or extremely challenging for them rose from 24 percent in 2015 to 26 percent in 2016.
Prominent Vienna, Virginia estate planning attorney Lisa McDevitt says, “Individuals approaching retirement are advised to consult an estate planning attorney who can tailor a plan that is best suited to them and their families." "Such a plan would take into consideration their retirement needs and help them to retire comfortably,” she adds.
However, only eight percent of pre-retirees and retirees said they consulted a professional to obtain advice regarding estate planning in the last 12 to 18 months. In addition, 54 percent of those in their late career and 47 percent of pre-retirees said they found it very challenging to select suitable investments.
For instance, in 2016, just 43 percent of respondents in their late career revealed that they hired a financial adviser for assistance. However, 71 percent tried to get counsel from free sources, including: phone representatives of mutual funds, brokerages, employers, family, friends and media. This figure represents an increase of eight percentage points from 2015.
Furthermore, 45 percent of baby boomers anticipate a decline in their standard of living upon retirement. They are doubtful of the concept of a secure retirement. Baby boomers are worried of the possibility that income from Social Security, retirement benefits from their employers and their savings will not be enough. According to a survey conducted by Transamerica Center for Retirement Studies (TCRS), two-thirds of boomers stated that they were planning to, or were currently working, or had no intention of retiring beyond the age of 65. The principal factor for this trend was a need for income or medical benefits.
Lisa Lane McDevitt
2155 Bonaventure Drive
Vienna, VA 22181