We’ve long respected the acumen of Ken Dychtwald, PH.D., gerontologist, psychologist and founder of Age Wave, a company that conducts benchmark field research on issues related to aging.
His most recent study, The Four Pillars of the New Retirement, conducted in May through June 2020 in conjunction with Edward Jones, has already experienced over a billion views!
The study is extensive with input from 9000 people in the U.S. and Canada. Five generations — Gen Z (18-23), Millennial (24-39), Gen X (40-55), Boomer (56-74), Silent Gen (75+) – participated in the study. It includes how well people are coping with COVID-19.
Retirement is being transformed marked by new freedoms, connections, purpose and financial challenges. Fifty-five percent surveyed said retirement is the beginning of a new chapter in life.
Four Pillars: Health, Family, Purpose, Finances
- Physical health usually declines with age but mental health improves. With age comes resilience.
- The health condition most feared later in life is dementia. It comprised 32% of health concerns versus 19% cited for COVID-19.
- For most (66%) family is defined as anyone loved and cared for whether there is a relationship by blood, marriage or legal adoption.
- The vast majority (72%) said their biggest fear was becoming a burden on their families. (We’ve heard this for decades as one of the top reasons clients explore long-term care insurance.)
- When it comes to leaving a legacy, retirees value creating lasting memories over gifting money. Only 25% said the most important value was passing on wealth, but 75% said memories, values and/or life lessons were most important.
- For almost all (95%) of retirees said it was important to keep learning.
- Most (74%) said financial peace of mind means not outliving income.
- Not surprising, the greatest financial worry cited was healthcare and long-term care costs. Not recession. Yet 68% have no idea what these costs will be in retirement.
- Both retirees and pre-retirees want help navigating finances in retirement, especially advise on investment strategy to withstand market volatility.
Insightful and educational, we encourage you to view The Four Pillars of the New Retirement.