Despite the financial worries that can be caused by needing to help a younger generation with money, the most important things those nearing or in retirement want to pass on to the next generation are their values and life lessons (74 percent) over financial assets (32 percent).
Next to health care, outliving savings is the biggest issue for people, according to the survey. Sixty-one percent of women and 47 percent of men fear not having enough money to last through retirement.
Many retirees and pre-retirees are seeking conservative, guaranteed income (74 percent) over investments that promise growth but carry more risk (21 percent). Those surveyed who use a financial advisor to help with these issues have greater peace of mind, Merrill Lynch found.
The silent generation—those born between 1925 and 1942—is providing about 33 percent of their own retirement money, with the rest coming from Social Security and pension funds. Baby boomers anticipate providing 41 percent of their own retirement money while Gen X, those under 45, expects to provide half of their own retirement funds.
“There is a drive to create their own safety net,” says Sieg.
Merrill Lynch concluded that a better understanding of the issues involved with retirement would help alleviate people’s fears.
“In short, we believe people want and need to know more about their retirement years before they are upon them, to gain greater clarity about what they want to achieve, and to understand what is possible in this stage of life,” the survey concluded.