From Financial Advisor magazine:
More people than last year are seeking advice on how to save for retirement and how to make their retirement money last, according to a TIAA-CREF survey released Tuesday.
In 2013, 63 percent of Americans who received financial advice sought information on saving for retirement, as opposed to 52 percent in 2012, the survey says. At the same time, 54 percent of Americans who received advice say they were looking for how to make their retirement savings last, a 9 percentage-point increase over 2012.
The TIAA-CREF second annual Financial Advice Survey included 1,000 Americans 18 years of age or older. …
What are the obstacles facing people seeking advice? Nearly half say that finding an advisor they can trust. The other reason that more don’t get advice is that they do not like talking to anyone about their finances.
Money and time are also drawbacks to seeking advice. Forty percent say financial advice costs more than they can afford and one third say they lack the time to seek advice.
Different demographic groups have different attitudes toward financial advice and planning, the survey found. Members of Gen X, those 35 to 44 years old, were the most likely to seek retirement advice. Eighty percent of Gen Xs seeking financial advice are looking for more guidance about how to prepare for retirement. Gen X also is the largest segment of the American population to rely on financial service provider Web sites or online tools for financial advice, the survey says.
The problem with using the Internet to get financial advice is that while it pretends to provide customized advice, it really does not know you personally and is unable to ask the questions that a personal financial professional is able to. In the end, using the computer to get guidance reminds us of the old saying about computer analysis: “garbage in, garbage out.”
Arie J. Korving, a CERTIFIED FINANCIAL PLANNER™ professional, has been delivering customized wealth management solutions to his clients for more than three decades. Prior to co-founding Korving & Company, he was First Vice President with UBS Wealth Management and held management positions with General Electric.