Craig Bonney Prudential Advisors

With traditional pensions becoming a rarity, those of us at 55 are increasingly depending on 401(k)s, more so than older generations. It's a critical time, especially when the average savings hover around less than $50,000—significantly less than the recommended eight times our annual income.

Learn more from Prudential’s “2024 Pulse of the American Retiree Survey” - https://bit.ly/planadviser-pru-jun24

55-Year-Olds Twice as Likely to Rely on 401(k) Compared to Predecessors | PLANADVISER The reliance on 401(k)s means retirement industry must turn attention to this group about 10 years from the traditional retirement age.

Recent findings from Prudential’s “2024 Pulse of the American Retiree Survey” reveal a significant shift in retirement planning. With the decline of traditional pension plans, 55-year-olds are now almost twice as likely to rely on 401(k)s compared to older generations. This demographic reports a median retirement savings of less than $50,000—far below the recommended eight times their annual income.
As financial advisors, it's crucial to address these challenges proactively. Here’s how you can help:

1. Educate on the Importance of Early Savings: Highlight the necessity of starting early to leverage the power of compound interest.
2. Budget for Retirement: Assist clients in understanding their current financial status and how it projects into their retirement plans.
3. Explore Income Streams: With the demise of pension plans, consider introducing your clients to alternatives like income-based annuity products and dividend-paying stocks and bonds to supplement Social Security.

See more insights from Brandon Goldstein, Financial Planner from Prudential Advisors and Dylan Tyson, President of Retirement Strategies - https://bit.ly/planadviser-pru-jun24



Annuities are issued by Pruco Life Insurance Company, Newark, NJ (main office). Pruco Life Insurance Company, a Prudential Financial company, is solely responsible for its own financial condition and contractual obligations.

55-Year-Olds Twice as Likely to Rely on 401(k) Compared to Predecessors | PLANADVISER The reliance on 401(k)s means retirement industry must turn attention to this group about 10 years from the traditional retirement age.

One in five parents say they’ve tapped into retirement savings to help adult children with their finances. By setting financial expectations with your family now, you can avoid depleting your own resources later.

Prudential’s Delvin Joyce shares more on the importance of financial planning among today’s economy in a new article from Barron’s:

Parents Are Spending Retirement Savings to Help Boomerang Children A Bankrate report found that almost 70% of parents with adult children have made financial compromises to support them.

As we step into the new year, it is the perfect time to review your finances. Explore these five financial tips to help make sure you stay on track this year.

Five Financial To-Dos to Help You Stay on Track in 2024 These financial planning steps can help ensure your financial wellness for the rest of the year, so take some time to look at your goals, debt, taxes and more.