PLANADVISER - January/February 2018 - 12
trendspotting
Divorce a Retirement Roadblock
Clients and advisers alike often also overlook the possibility of losing a spouse
TD Ameritrade's Financial Challenges
of Divorce and Widowhood survey of
2,000 adults ages 37 and older gives
insight into the financial lives of the
25 million divorced and 14.5 million
widows and widowers in the U.S.
While the survey contains points
of optimism, the analysis, in some
respects, is stark. Overall, the firm
says, the " unfortunate reality is that
approximately four in 10 marriages
eventually end in divorce, and about a
quarter of Americans ages 65 and older
are widowed. " Therefore, these issues
are of paramount importance for all
advisers and clients to consider.
Naturally, this may be a challenging
conversation for some advisers or
clients, but, researchers argue, it does
not have to be: " Considering divorce or
the loss of a spouse is a smart addition
to any long-term financial plan. It's no
different than planning for things such
as a major illness, disability or potential
long-term care needs. "
As it stands today, married couples
are not sufficiently addressing this
topic with their advisers. Fully twothirds
of married individuals admit
having no financial plan in place in
the event of a divorce or becoming
widowed. Despite the lack of planning,
seven in 10 men and six in 10 women
also say they are confident in their
ability to manage their own financial
situation in the event of a divorce or a
spouse passing away.
TALKING POINT
Carry On
53% of Americans expect to retire after age
65 or not at all, and 56% plan to continue
working at least part-time in retirement.
Source: Transamerica Center for Retirement Studies survey
12 | planadviser.com january-february 2018
Art by Andrea D'Aquino
TD Ameritrade researchers warn
that this task often proves far more
difficult and damaging than couples
anticipate: " Married individuals report
an annual personal income of $61,700.
That is $13,100 more than widows/
widowers and $9,800 more than those
who are divorced. "
David Lynch, managing director
and head of branches for TD Ameritrade,
says advance planning could
provide a much needed boost in financial
security for those who " unexpectedly
end up alone at any phase of their
life. Compared with the 43% of married
Americans who currently feel financially
secure, just a quarter of divorced
people say the same.
In an average
month, nearly half of divorced individuals
are not saving or investing any
of their take-home pay, versus 32% for
their married peers. " -John Manganaro
http://www.planadviser.com
PLANADVISER - January/February 2018
Table of Contents for the Digital Edition of PLANADVISER - January/February 2018
Big Ideas
2018 PLANADVISER Top 100 Retirement Plan Advisers
2018 PLANADVISER Micro Plan Survey
Value Added
The Magic of Local Events
Warming to ESG
HSAs in Retirement Planning
PLANADVISER - January/February 2018 - Cover1
PLANADVISER - January/February 2018 - Cover2
PLANADVISER - January/February 2018 - 1
PLANADVISER - January/February 2018 - 2
PLANADVISER - January/February 2018 - 3
PLANADVISER - January/February 2018 - 4
PLANADVISER - January/February 2018 - 5
PLANADVISER - January/February 2018 - 6
PLANADVISER - January/February 2018 - 7
PLANADVISER - January/February 2018 - 8
PLANADVISER - January/February 2018 - 9
PLANADVISER - January/February 2018 - 10
PLANADVISER - January/February 2018 - 11
PLANADVISER - January/February 2018 - 12
PLANADVISER - January/February 2018 - 13
PLANADVISER - January/February 2018 - 14
PLANADVISER - January/February 2018 - 15
PLANADVISER - January/February 2018 - 16
PLANADVISER - January/February 2018 - 17
PLANADVISER - January/February 2018 - Big Ideas
PLANADVISER - January/February 2018 - 19
PLANADVISER - January/February 2018 - 20
PLANADVISER - January/February 2018 - 21
PLANADVISER - January/February 2018 - 2018 PLANADVISER Top 100 Retirement Plan Advisers
PLANADVISER - January/February 2018 - 23
PLANADVISER - January/February 2018 - 24
PLANADVISER - January/February 2018 - 25
PLANADVISER - January/February 2018 - 26
PLANADVISER - January/February 2018 - 27
PLANADVISER - January/February 2018 - 28
PLANADVISER - January/February 2018 - 29
PLANADVISER - January/February 2018 - 2018 PLANADVISER Micro Plan Survey
PLANADVISER - January/February 2018 - 31
PLANADVISER - January/February 2018 - 32
PLANADVISER - January/February 2018 - 33
PLANADVISER - January/February 2018 - 34
PLANADVISER - January/February 2018 - 35
PLANADVISER - January/February 2018 - 36
PLANADVISER - January/February 2018 - 37
PLANADVISER - January/February 2018 - Value Added
PLANADVISER - January/February 2018 - 39
PLANADVISER - January/February 2018 - The Magic of Local Events
PLANADVISER - January/February 2018 - 41
PLANADVISER - January/February 2018 - Warming to ESG
PLANADVISER - January/February 2018 - 43
PLANADVISER - January/February 2018 - HSAs in Retirement Planning
PLANADVISER - January/February 2018 - 45
PLANADVISER - January/February 2018 - 46
PLANADVISER - January/February 2018 - 47
PLANADVISER - January/February 2018 - 48
PLANADVISER - January/February 2018 - Cover3
PLANADVISER - January/February 2018 - Cover4
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