Latest News
Retirement Readiness and Financial Preparedness Can be Two Different Measures
Many U.S. adults approaching retirement express confidence in their ability to deal with living costs in their later years. An overwhelming majority–89 percent–of responses to a global survey by Prudential said so, yet just slightly more than half said they’d factored inflation into their financial planning. Caroline Feeney, global head of retirement and insurance for Prudential, calls this a confidence paradox: “Feeling ready is very different than actually being ready.”
As the economy experienced earlier in this decade, inflation can spiral upward quickly and remain persistent for many years. Consequently, higher-than-expected living costs, especially in areas where seniors spend most, can create a hole in previously satisfactory financial plans. Crafting plans to deal with this eventuality is key, says Feeney, who offers thoughts on this in a CNBC.com post by reporters Sharon Epperson and Stephanie Dhue. Read the post in full here.