Business Wire October 16, 2019 
This National Retirement
Security Week, Lincoln Financial Group Shares Tips and Resources to Help
Consumers Achieve Retirement Goals
RADNOR,
Pa.--(BUSINESS WIRE)-- Retirement may sound far away or unachievable to many Americans,
but new research from Lincoln Financial Group
(NYSE: LNC) shows that consumers who take the time to envision their ideal
retirement not only know they need to save more, but are actually saving at a
higher rate than those who have no idea what their ideal retirement looks like.
Retirement
plan participants who have envisioned their ideal retirement set their sights
higher when saving for retirement. The median amount they think they need to
save for retirement is 20% of their income (this is 7% higher than those who
have not given any thought to their ideal retirement). As a result, those who
have a picture of what retirement holds for them are more than twice as likely
to contribute 15% or more in their workplace retirement plan compared to those
who have not given it any thought.
“Planning
for retirement is more than just a number,” said Jamie Ohl, executive vice
president, president Retirement Plan Services, Lincoln Financial Group. “When
savers take the time to really think through what retirement will hold — like
volunteering, traveling the world or even working part time — they are better
able to take steps today to make the tomorrow they imagine a reality.”
More
than a retirement plan — a plan for retirement
Understanding
the ins and outs of a retirement plan are important, but it is just as
important for savers to think about what they want to be doing in retirement,
as it gives them a goal to work towards and save for directly. In the 2019
Lincoln Retirement Power® Participant Study, people were asked to
describe their ideal retirement, in their own words.
The
most popular themes were traveling (35%) and feeling financially secure or not
having to worry about money (30%). Other common themes included:
·
living comfortably / having a simpler life (16%)
·
being debt-free (12%)
·
not having to work and relaxing (11%)
·
relocating or downsizing their home (10%)
·
entertainment / fun activities / hobbies (9%)
·
spending time with family and friends (9%)
·
working part-time (8%)
“We
heard directly from participants in our study, who said they wanted to be able
‘to live comfortably, not extravagantly’ and ‘I don’t want to feel like we
can’t do fun things because money is tight,’” Ohl said. “This is powerful — and
we are doing everything we can to help participants understand not just how
much they need to save, but how to save more, so they can achieve those
retirement goals.”
Understanding
how much to save
Envisioning
the ideal retirement is an important step to take while planning for the
future, but it’s also important for savers to calculate the costs of their
ideal retirement, especially those who are nearing retirement.
Among
those who expect to retire within the next 10 years, only about half have
calculated the costs of their basic needs in retirement, and even fewer (38%)
have calculated what their ideal retirement would cost. Like envisioning
retirement, calculating retirement costs correlates with higher deferral rates
among participants, and helps consumers get closer to achieving their dreams.
And
while the study found that participants who are closer to retirement are more
likely to have given a lot of thought to what their ideal retirement might look
like, it is vital for consumers to start saving young.
Resources
to help
Lincoln
Financial offers a number of tools and support for participants, including
this Financial Conversation Starter Kit, which
helps people have conversations with their loved ones about finances.
Once
consumers have put thought into what their ideal retirement looks like,
understanding that small changes can have a big impact on savings is important,
as this calculator shows. And for those
struggling with competing financial priorities, including debt, Lincoln’s debt calculator can help.
“National
Retirement Security Week is a great time for participants of all ages to think
ahead to what their ideal retirement would look like,” said Ohl, “but it’s just
as important for the other 51 weeks of the year. The sooner savers take charge
of their retirement savings, the closer they will be to achieving the
retirement they envision.”
About
Lincoln Financial Group
Lincoln
Financial Group provides advice and solutions that help empower people to take
charge of their financial lives with confidence and optimism. Today, more than
17 million customers trust our retirement, insurance and wealth protection
expertise to help address their lifestyle, savings and income goals, as well as
to guard against long-term care expenses. Headquartered in Radnor,
Pennsylvania, Lincoln Financial Group is the marketing name for Lincoln
National Corporation (NYSE:LNC) and its affiliates. The company had $260
billion in assets under management as of June 30, 2019. Lincoln Financial Group
is a committed corporate citizen included on major sustainability indices
including the Dow Jones Sustainability Index North America and FTSE4Good.
Dedicated to diversity and inclusion, Lincoln was recognized by Forbes as one
of the Best Large Employers, Best Employers for Diversity, and Best Employers
for Women. Lincoln also earned perfect 100 percent scores on the Corporate
Equality Index and the Disability Equality Index. Learn more at: www.LincolnFinancial.com. Follow us on Facebook, Twitter, LinkedIn, and Instagram. Sign up for email alerts at http://newsroom.lfg.com.
About
the Lincoln Retirement Power® Participant Study
The
2019 Lincoln Retirement Power® Participant Study is based on a national survey
of 2,580 full-time workers who have been contributing to their current
employer’s retirement plan for at least one year. Data is weighted by
demographics to mirror the total population. Lincoln Retirement Power is a
platform for research and viewpoints on central issues related to retirement
planning. The program seeks to identify forward-thinking ways to help plan sponsors,
advisors, intermediaries, and participants. As part of the program, Lincoln
sponsors both proprietary and third party research, with an emphasis on what
drives better retirement outcomes.
LCN-2776033-101519
View
source version on businesswire.com: https://www.businesswire.com/news/home/20191016005526/en/
Lincoln
Financial media contact:
Lucy MacNichol
lucy.macnichol@lfg.com
484-583-2926
Lucy MacNichol
lucy.macnichol@lfg.com
484-583-2926
Holly
Fair
Holly.fair@lfg.com
484-583-1632
Holly.fair@lfg.com
484-583-1632
Source:
Lincoln Financial Group
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