Table of Contents
Introduction
-
- Other relevant reports
- Scope of the report
- Abbreviations and terms
- Abbreviations
Executive Summary
-
- Expectations for “prime time”
- Changing terminology reflects the evolution
- Need for an individualized approach
- Implications for the industry
The Psychology of Retirement
-
- The “new” old
- Aging no longer a liability
- Key characteristics of the Baby Boomer generation
-
- Figure 1: How financially secure do you feel about your retirement?, respondents age 55+, January-September 2005
- Baby Boomers envision retirement
- Healthcare concerns dominate as a financial worry
- Importance of personal savings
- Shifts in retirement destinations
-
- Figure 2: Current top ten relocation states for retirees age 60+
- Psychological preparation as a prelude to financial planning
-
- Figure 3: Positive responses to “If I won the lottery I would never work again”, by age, January-September 2005
- New retirement mindscape
- The five stages of retirement
-
- Figure 4: Positive responses to “Would rather have a boring job than no job”, by age, January-September 2005
-
- Figure 5: Positive responses to “I am happy with my standard of living”, by age, January-September 2005
- Regional differences
- Retirement priorities
-
- Figure 6: Positive responses to “How I spend my time is more important than money”, by age, January-September 2005
-
- Figure 7: Positive responses to “Prefer to work as part of a team rather than alone”, by age, January-September 2005
-
- Figure 8: Positive responses to “I feel secure financially”, by age, January-September 2005
-
- Figure 9: Positive responses to “I provide my kids with things I didn’t have”, by age, January-September 2005
- Paths of retirement
- Finding new identities in retirement
- Need for psychological preparation
- Coping with retirement
Work Patterns and the New “Retirementality”
-
- Working longer and phasing in
- Working while retired
-
- Figure 10: Positive responses to “Money is the best measure of success”, by age, January-September 2005
- Older workers still needed
- Reasons for working
-
- Figure 11: Factors in the decision to work in retirement, 2003
- Benefits of phased retirement
- Preparing for a working retirement
-
- Figure 12: Positive responses to “I would like to set up my own business”, by age, January-September 2005
- Retiring, then returning to work
- Why non-working retirees return to work
- Reasons for returning to work
- Household debt and the need to keep working
-
- Figure 13: Home ownership rate, by age, 2001 and 2004
- Figure 14: Household holdings of debt, by age, 2001-04
-
- Figure 15: Number of respondents who have home equity loan, by age, January-September 2005
Financial Attitudes
-
- Anxieties about retirement increasing
- Retirement planning gaps
- Inadequate planning for income management
-
- Figure 16: Positive responses to “I am very good at managing money”, by age, January-September 2005
- Lack of asset allocation strategy
- Need for withdrawal strategies
-
- Figure 17: Positive responses to “I enjoy taking risks”, by age, January-September 2005
-
- Figure 18: Positive responses to “Investing in the stock market is too risky”, by age, January-September 2005
- Planning gaps among pre-retirees
-
- Figure 19: Positive responses to “I know nothing about finances/investments”, by age, January-September 2005
-
- Figure 20: Positive responses to “I want to know as much as possible before committing to financial products”, by age, January-September 2005
- Figure 21: Positive responses to “I shop for the best deal for financial services products”, by age, January-September 2005
-
- Figure 22: Positive responses to “I leave financial arrangements to someone else”, by age, January-September 2005
- Figure 23: Positive responses to “I find ads for financial services interesting”, by age, January-September 2005
- Financial attitudes within ethnic groups
- People feel responsible for their own success
- Ethnic influence on retirement attitudes
- Attitudes among African-Americans, Asians and Hispanics
-
- Figure 24: Positive responses to “I don’t like the idea of being in debt”, by age, January-September 2005
- Asian-Americans and financial attitudes—a closer look
- African-Americans and financial attitudes—a closer look
- Hispanics and financial attitudes—a closer look
-
- Figure 25: Attitudes of English-dominant vs. Spanish-dominant Hispanic Baby Boomers, 2006
- Financial attitudes of women
- Sexual preference and retirement attitudes
- Legacy planning among the generations
- Influence of the “alpha” child
Financial Behaviors
-
- Baby Boomers’ financial responsibilities
- Savings habits of affluent Baby Boomers
- Sources of retirement income
- Debt activity
-
- Figure 26: Positive responses to “Often prefer to pay cash for things I buy”, by age, January-September 2005
- Credit card ownership
-
- Figure 27: Positive responses to “credit cards—do you have or use?”, by age, January-September 2005
- Figure 28: Positive responses to “Have a debit card (MasterCard or Visa)”, by age, January-September 2005
-
- Figure 29: Respondents who have three of more credit cards, by age, January-September 2005
- Credit card usage
-
- Figure 30: Positive responses to “Any credit cards used in the last 30 days”, by age, January-September 2005
- Debit card usage
-
- Figure 31: Positive responses to “Used MasterCard debit card 20 or more times per month”, by age, January-September 2005
- Figure 32: Positive responses to “Used MasterCard debit card between one and five times per month”, by age, January-September 2005
-
- Figure 33: Positive responses to “Used Visa debit card between one and five times per month”, by age, January-September 2005
-
- Figure 34: Proportion of monthly bill paid—Visa, MasterCard, Discover, Amex, by age, January-September 2005
- Where assets are held
-
- Figure 35: Have a retirement account, by gender and age, March 2006
- Figure 36: Type of institution with retirement assets, age 55+, March 2006
-
- Figure 37: Have a non-retirement account, by age, January-September 2005
- Figure 38: Type of brokerage account held, by age, January-September 2005
-
- Figure 39: Online account usage, by age, January-September 2005
-
- Figure 40: Have mutual fund/brokerage accounts, by age, January-September 2005
-
- Figure 41: Respondents who own any investments, type of investment owned, by age, January-September 2005
-
- Figure 42: Positive responses to “Own Keogh/SEP IRA/pension”, by age, January-September 2005
-
- Figure 43: Positive responses to “own IRA” and “own 401k”, by age, January-September 2005
- Figure 44: Financial transactions with credit unions, by age, January-September 2005
-
- Figure 45: Senior Citizens Club participation, by age, January-September 2005
-
- Figure 46: Relationship with mutual fund/brokerage firm, by age, January-September 2005
- Rollover trends
-
- Figure 47: Original and new providers, asset-weighted share of transactions, 2004
Reasons for Rolling over Assets to Specific Institutions
-
- Importance of an established relationship
-
- Figure 48: Importance of an established relationship and online banking for rollover respondents, March 2006
- Easy access through electronic services
- Preferred investment menu
-
- Figure 49: Importance of investment type and investment return to rollover respondents, March 2006
- Returns on investments
- Money management philosophy
-
- Figure 50: Importance of conservative approach, consolidation of assets, and personal recommendation to rollover respondents, March 2006
- Good place to consolidate
- Influence of friends
- Primary sources of financial information
-
- Figure 51: Primary advisors as source of financial information, March 2006
- Technology facilitating rollovers
Products Which Address the New “Retirementality”
-
- Reverse mortgages as a new retirement planning tool
-
- Figure 52: Reverse mortgages issued, 2001-Q3 2005
- Solo 401(k)s
- Retirement income products and services
- Acceptance of electronic services
-
- Figure 53: Positive responses to “Use a debit card and electronic funds transfer”, by age, January-September 2005
- Income planning services
- Obtaining advice
- Retirement plan advice through the workplace
- Trust of financial companies
Appendix A: Advertising
-
- Attitudes about advertising
- Advertising to seniors online
- African-Americans and the Internet
- Hispanics and the Internet
- Advertising approaches
- Fidelity
-
- Figure 54: Fidelity print advertisement, 2006
- Figure 55: Fidelity print advertisement, 2006
-
- Figure 56: Fidelity print advertisement, 2006
- Ameriprise
-
- Figure 57: Ameriprise print advertisement, 2006
- AIG
-
- Figure 58: AIG print advertisement, 2006
- Prudential
-
- Figure 59: Prudential print advertisement, 2006
- Figure 60: Prudential print advertisement, 2006
-
- Figure 61: Prudential print advertisement, 2006
- Figure 62: Prudential print advertisement, 2006
- The Principal
-
- Figure 63: Principal Financial Group print advertisement, 2006
- Figure 64: Principal Financial Group print advertisement, 2006
- Transamerica
-
- Figure 65: Transamerica print advertisement, 2006
- Vanguard
-
- Figure 66: Vanguard print advertisement, 2006
- Figure 67: Vanguard print advertisement, 2006
- T. Rowe Price
-
- Figure 68: T. Rowe Price print advertisement, 2006
- Figure 69: T. Rowe Price print advertisement, 2006
- A.G. Edwards
-
- Figure 70: A.G Edwards print advertisement, 2006
- Edward Jones
-
- Figure 71: Edward Jones print advertisement, 2006
- Figure 72: Edward Jones print advertisement, 2006
- American Century
-
- Figure 73: American Century print advertisement, 2006
- Figure 74: American Century print advertisement, 2006
- Lincoln Financial Group
-
- Figure 75: Lincoln Financial Group print advertisement, 2006
- New York Life
-
- Figure 76: New York Life print advertisement, 2006
Appendix B: Other relevant studies
Back to top