RICHMOND, Va., March 26, 2015 /PRNewswire/ -- Genworth (NYSE:
GNW) today released the results of its generational planning study
that takes a look at the country's view on aging and retirement to
better understand Americans' sentiments on topics like health,
retirement contributions, long term care and most importantly, how
they are planning for these situations. According to the
study, more than half (53%) of adults have not started making
financial arrangements for retirement, and four in ten respondents
stated not having saved enough for retirement is their biggest
financial regret.
"Preparing ourselves financially for future aging and care needs
is one of the biggest issues Americans are facing today. Competing
financial obligations, lack of information and even fear prevent
many from making a plan simply because they don't know how to
approach retirement planning and take the first step," said
Tom McInerney, President and CEO of
Genworth. "Armed with this research, our goal is to work alongside
other organizations that focus on aging-related issues to help give
Americans the tools they need to create a plan of action at every
stage in life."
Interestingly, of respondents who have started making retirement
arrangements, the average age is 33. Respondents also report
average annual retirement savings of $7,360 and median saving of $500. When asked about the amount of money
they will need to retire, adults said they anticipated needing, on
average, $1.7 million for retirement.
At that current $7,360 annual savings
rate, a 33 year old would only have approximately half a million at
age 65, assuming a 4 percent compound interest rate.
"We hope that the insights gleaned from this research will be
instrumental to the myriad of organizations we work with as they
help guide their members and other constituents on how to approach
their aging and retirement needs. One of the more encouraging
statistics that we saw represented was that the younger generations
are increasingly paying attention to these issues," concluded
McInerney.
Concerns about Aging and Care
A major component of
retirement planning that tends to be overlooked by Americans is the
potential need for long term care. Genworth is committed to
increasing awareness as this is one of the country's biggest
societal issues with 70 percent of American adults over the age of
65 eventually requiring some form of long term
care1. Health and finances are among the two most
frequently mentioned aging concerns at 71 percent and 63 percent,
respectively. This shows both are top concerns that need
addressing, especially since the study showed less than one-third
of adults will look to themselves or their spouses for care with
aging.
Plan at Every Age for Every Stage
Americans can take
several easy steps for their financial and families' well-being.
The survey revealed that better preparations are needed as too few
have a will, designated guardians or advanced medical directives.
These three, little to no cost actions can be added to a financial
checklist that spans every stage of life. It is increasingly
more important to develop good habits earlier in the retirement
planning process, even though life changes and aging tend to be the
impetus for many to start planning for their aging and retirement
needs.
Taking Action
For additional resources about
aging and retirement and the importance of planning to help
families start a conversation for the future, please download the
informative report. You can also visit
www.longtermcareinsurance.org for additional information. To help
get the conversation started about planning for long term care
visit: Genworth Let's Talk.
About Genworth's Generational Planning Study
Genworth's Generational Planning study was conducted in
collaboration with J&K Solutions, LLC and The Olinger
Group. The data from this study was collected from an online
survey during February 2015. A
demographically representative sample of 1,000 adults ages 18 and
older across the United States
were surveyed providing a highly stable and reliable data source.
The sample follows the framework of the 2010 U.S. Census data for
age, ethnicity, gender, region and income. This allows for
estimates of the stated population within +/- 3% with 95%
confidence, unless otherwise noted.
About Genworth Financial
Genworth Financial, Inc.
(NYSE: GNW) is a leading Fortune 500 insurance holding company
committed to helping families become more financially secure,
self-reliant and prepared for the future. Genworth has leadership
positions in long term care insurance and mortgage insurance and
competitive offerings in life insurance and fixed annuities that
assist consumers in solving their insurance, retirement and home
ownership needs.
Genworth operates through three divisions: U.S. Life Insurance,
which includes long term care insurance, life insurance and fixed
annuities; Global Mortgage Insurance, containing U.S. Mortgage
Insurance and International Mortgage Insurance segments; and the
Corporate and Other Division, which includes the International
Protection and Runoff segments. Products and services are offered
through financial intermediaries, advisors, independent
distributors and sales specialists. Genworth, headquartered in
Richmond, Virginia, traces its
roots back to 1871 and became a public company in 2004. For more
information, visit genworth.com. From time to time, Genworth
releases important information via postings on its corporate
website. Accordingly, investors and other interested parties are
encouraged to enroll to receive automatic email alerts and Really
Simple Syndication (RSS) feeds regarding new postings. Enrollment
information is found under the "Investors" section of genworth.com.
From time to time, Genworth's publicly traded subsidiaries,
Genworth MI Canada Inc. and Genworth Mortgage Insurance Australia
Limited, separately release financial and other information about
their operations. This information can be found at
http://genworth.ca and http://www.genworth.com.au.
1 U.S. Department of Health and Human Services
http://longtermcare.gov/the-basics/who-needs-care/
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/americans-and-aging-new-genworth-research-examines-americans-challenges-and-concerns-around-aging-retirement-and-long-term-care-planning-300056224.html
SOURCE Genworth Financial, Inc.