New survey results from TIAA-CREF “make it clear that it has never been more important for plan sponsors to consider advisory services as part of their overall plan.” Among the findings: nearly half of those surveyed worry about their long-term financial futures, and individuals are 60% more likely to implement financial changes when there is specific investment advice, as opposed to general guidance.
TIAA-CREF and KRC Research conducted the national poll this July among 1,006 adults aged 18 and older, and there were distinct differences based on respondents’ ages. Baby boomers were the most likely to report that financial advice was very difficult to respond.
Generation Y showed the most interest in seeking financial advice with approximately 40% saying they look for it frequently. Those aged 18 to 34 were also the most likely to act on advice given, and to use online tools for financial services, according to TIAA-CREF
Overall, only one-third of respondents say they consistently take action after receiving financial advice.
“The fact that people are not consistently acting on the advice they receive comes as no great surprise,” says James Nichols, senior managing director of advice and planning services at TIAA-CREF. “People are all too often inundated with information telling them to save more, cut costs and plan for retirement, but how you go about that differs for every person.”
One in five respondents say finding relevant financial advice is challenging, and, of those, 51% say they don’t know where to start. Seventy-four percent of those who reported difficulty say they don’t know which sources they can rely on for sound advice.
The survey further finds that women are more likely to face difficulty finding financial advice than men: nearly half think personalized, objective counsel will cost more than they can afford, and more than one-third say they don’t have time to look. Nearly 90%, however, report acting on the advice they get, far more than men.
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