One of my other favorite studies that’s put out annually is one by the Employee Benefit Research Institute (EBRI). The content in the EBRI study, like the DALBAR Study (http://www.pomplanning.net/dalbar2015, is a must for anyone in insurance or financial planning business.
To download the 36-page EBRI Study (it has 46 charts), click on the following link:
The study deals with the psychology of the American worker and of retirees when it comes to money needed for retirement. As such, it’s can be used as a great tool to help advisors motivate clients to act NOW to implement proper planning vs. waiting until it’s too late.
In short, the study shows that the average worker and retiree have NO CLUE what they are doing and are in desperate need of help. The following are just some of the items listed in the study:
-How much the average worker has saved for retirement.
-How much the average worker thinks he/she needs to accumulate for retirement.
-How much the average worker thinks he/she will spend on health care expenses in retirement.
-Worker confidence in having enough money to take care of basic expenses in Retirement.
-Worker confidence in having enough money to take care of Medical Expenses in Retirement.
-Worker confidence in having enough money to pay for long-term care.
-Worker confidence in their financial preparation for retirement.
The following are both comical and sad. The first chart that I extracted from the study is how much the average worker has saved. You’ll notice that 28% of the workers say they have less than $1,000 saved for retirement and only 14% have more than $250,000.
Now look at the following chart. 65% of workers say they need more than $250,000 or retirement. These charts are incompatible and show how much people need help.
$585 Million Reasons to Attend Training!
2016 is here and there are many advisors who are very happy they made the move to come on board with www.pomplanning.net.
Why? Because they are now using the best marketing platform in the industry today (www.pomplanning.net/ummp). In just over three years, advisors I’ve recommended to POM Planning have gathered over $585 million in AUM.
If you want to start your year off on the right foot, I strongly recommend you get to training. There is an upcoming California training in March for those on the west-coast. To learn more, go to www.pomplanning.net/training.
Roccy DeFrancesco, JD
Founder, The Wealth Preservation Institute
144 Grand Blvd
Benton Harbor, MI 49022