RADNOR, Pa.--(BUSINESS WIRE)--Whispering sweet nothings is romantic, but research shows a different kind of conversation might be an even more powerful expression of everlasting love. According to Lincoln Financial Group’s (NYSE: LNC) Retirement Power® study, Americans who prioritize retirement conversations with their spouse or partner have significantly stronger outcomes. They are nearly twice as likely as those who do not hold these discussions to contribute 15% or more to their employer-sponsored retirement plan, deducting on average two times more from every paycheck. These individuals are also eight times more likely to feel confident about retirement.
“When it comes to saving for retirement, small actions can have a big impact on the future, including the simple step of having a conversation with a loved one,” said Sharon Scanlon, senior vice president, Customer Experience, Producer Solutions and Retirement Operations for Lincoln Financial Group. “And by working together, couples can create a roadmap to achieve the retirement they envision, while also focusing on their holistic financial wellness.”
Lincoln Financial suggests three tips to start the conversation, as well as guidance to get you to and through retirement:
- ASK ME to envision our ideal retirement lifestyle. Lincoln’s study showed the majority (83%) would be motivated to save more for retirement if they had a clearer vision of their lifestyle and what it would take to achieve it. Retirement readiness starts with a clear vision of the future, which means assessing how much money you will need and at what age you will stop working. Most financial professionals recommend about 85% of your pre-retirement income to maintain your lifestyle after leaving your job, so develop an income strategy that fits your vision for the future. Consider how long you plan to be retired and tap into a Life Expectancy Calculator for extra insight. Track your spending using budget worksheets to get started. Think about where you want to live and whether you will upgrade or downsize your home, as well as any plans to increase spending on travel or hobbies. Remember to budget for healthcare costs. Even with Medicare, the average couple may need substantially more to pay for healthcare in retirement.
- TRUE LOVE begins with retirement goal-setting. According to the Retirement Power® study, people who establish a goal about how much to save for retirement are nearly three times more likely to contribute more than 15% than those who do not set a goal for retirement savings. As you save for the future you envision, keep some basic guidelines in mind. A standard rule of thumb is to save 10% to 15% of your salary to stay on track for retirement. For some savers, 10% may feel overwhelming at first. If you would prefer a more gradual approach, try starting with a contribution of at least 6% and building over time. As you progress in your career, you will likely find more opportunities to save. Giving yourself a yearly 2% savings boost may be a good way to stay motivated and make sure you’re working toward the target 10% to 15% range. Find out if your employer offers any financial wellness tools that could help.
- SAY YES to working with a financial professional. Lincoln’s research also found one-on-one meetings with financial professionals are a top five motivator for increasing or starting retirement contributions. Additionally, a financial professional can help create a holistic plan specifically tailored to meet the needs of you and your family. Remember to also reach out to your employer or plan provider and ask for help learning more about your retirement plan.
For more information, tools and resources, visit www.LincolnFinancial.com.
About Lincoln Financial Group
Lincoln Financial Group provides advice and solutions that help people take charge of their financial lives with confidence and optimism. Today, more than 17 million customers trust our retirement, insurance and wealth protection expertise to help address their lifestyle, savings and income goals, and guard against long-term care expenses. Headquartered in Radnor, Pennsylvania, Lincoln Financial Group is the marketing name for Lincoln National Corporation (NYSE:LNC) and its affiliates. The company had $324 billion in end-of-period account values as of December 31, 2021. Lincoln Financial Group is a committed corporate citizen included on major sustainability indices including the Dow Jones Sustainability Index North America and FTSE4Good and ranks among Newsweek’s Most Responsible Companies. Dedicated to diversity, equity and inclusion, we are included on transparency benchmarking tools such as the Corporate Equality Index, the Disability Equality Index and the Bloomberg Gender-Equality Index. Committed to providing our employees with flexible work arrangements, we were named to FlexJobs’ list of the Top 100 Companies to Watch for Remote Jobs in 2022. Learn more at: www.LincolnFinancial.com. Follow us on Facebook, Twitter, LinkedIn, and Instagram. Sign up for email alerts at http://newsroom.lfg.com.
LCN-4287286-020722
