Ninety-five percent of mass affluent business owners in a recent poll expressed confidence in their financial plans' ability to generate income needed during retirement, up from 82% in 2020, TD Wealth reported Thursday.
Likewise, a vast majority of high-net-worth business owners in the poll said they are confident that their financial plans will provide them the income they need during retirement.
Yet concerns remain amid the pandemic. Business owners said economic uncertainty and market volatility are their top concerns when it comes to achieving their financial goals this year.
On top of that, they now worry about inflation and rising interest rates, especially as the U.S. continues to grapple with economic recovery in the wake of the pandemic.
Despite continued uncertainty, 62% of business owners reported that the pandemic did not prompt them to make any changes to their retirement planning.
"While business owners today are concerned about the external pressures that may be potential threats to their retirement confidence, they also continue to understand that a successful path to retirement means staying the course and weathering short-term volatility for potential longer-term success," Kenneth Thompson, head of U.S. wealth shared services at TD Bank, said in a statement.
Of those who did make changes to their retirement planning, 44% cited changes in asset allocation, 34% planned to postpone retirement and 32% lowered contributions to retirement savings.
Maru/Matchbox fielded a survey in August, targeting business owners with investable assets over $100,000, and collected 747 responses.
Hybrid Advice Boosts Retirement Confidence
Six in 10 business owners reported that they work with a financial advisor; many said this leads to greater confidence in their financial success in the long term.
According to the survey, 55% of respondents with an advisor expressed confidence, compared with 43% of those without one.
"Financial advice moved to center stage over the past 18 months, and business owners are seeking out personalized advice and investment opportunities to meet their shifting needs," Alyson Klug, head of U.S. wealth national sales at TD Bank, said in the statement.
