Adults over the age of 45 are prioritizing peace of mind over wealth accumulation, according to a recent retirement survey from Merrill Lynch and Age Wave, reports Time. By a margin of 7 to 1, today’s pre-retirees want a sense of well-being that comes with a sufficient and dependable income. The survey found that guaranteed income and asset protection were four times more important than achieving high-risk returns.
Creating sustainable income during the retirement years is a critical goal for many. Michael Fliegleman, a financial advisor with Strategic Wealth Advisors Networks, says in a Depositaccounts.com article that pre-retirees are interested in long-term income that is shielded from “increased taxes, inflation, health care costs, and market volatility.”
While money largely contributes to an overall peace of mind, other variables are important. David Tyrie, head of Personal Wealth & Retirement for Bank of America Merrill Lynch, said in an email that “family well-being, health, and having fulfilling goals and purpose” are among the non-monetary factors. Indeed, the Merrill Lynch and Age Wave survey found that respondents identify social connections and family as critical to peace of mind.
Retirement presents a new challenge for many boomers, according to The Wall Street Journal. ”Boomers have always paved their own way, and are once again pioneering new territory,” said Andy Sieg, head of Global Wealth and Retirement Solutions for Bank of America Merrill Lynch. “They share a strong view that retirement is not an end but a beginning, an opportunity for reinvention. Their perspectives, concerns, goals and how they plan to achieve them are different. What they seek is clarity and confidence about what is possible in the context of their hopes and myriad uncertainties.”
Completed in January 2013, the Merrill Lynch study is based on a nationwide survey of over 6,300 respondents age 45 and older.