Page 27 - Investment Advisor January/February 2022

he number of Social Security
recipients in 2021 hit nearly
T70 million, up from 45 million
in 2019, and slightly more than 50% of
Americans 55 years and older said they
were retired in the third quarter of last
year, according to Pew Research. Given the
strong demographic and other factors (like
“The Great Resignation” tied to COVID-19)
that are boosting the number of retirees,
retirement planning continues to be a key
driver of the advisory business as more
people focus on growing their nest eggs and
getting their financial plans solidified.

Across the generations, Americans have different retire-
ment concerns. While some Gen Zs (born between 1997 and
2012) are just starting to save, many baby boomers and some
GenXers have either left the working world or are getting
ready to retire.
Individuals of all ages have questions about the resiliency
of Social Security. For the older set, worries also focus on
the erosion of their savings and investments due to today’s
rising prices, volatile market returns, growing medical costs,
the need for long-term care and related issues.
In Congress, Social Security and Medicare are hot pota-
toes. But as Jamie Hopkins, Carson Group’s managing
partner of wealth solutions explains when asked if Social
Security is going away, “Well, if we’re okay with two-thirds
of America’s retirees essentially not being able to meet any
of their basic needs, then we could [take] Social Security
away.” In other words, it’s unlikely.
To help address client concerns about their financial
security, the advisory industry continues to develop new
products and planning approaches, introduce ongoing
financial education programs and work with Congress to
push for better savings programs. The following overview
highlights what advisors can expect this year when it comes
to retirement planning and several areas they should keep
up with to best serve clients of all ages.

JANUARY/FEBRUARY 2022 INVESTMENT ADVISOR 25