“This is an area where a financial professional can be an asset, and, compared to other generations, it’s the preference of many millennials,” Fidelity said. This year, 47% of couples currently working with an advisor agreed they hired their financial professional together, up from 45% in 2018, the study said. However, only 38% of couples agreed they interact with their financial professional together, with men more likely to say they take a lead role in the relationship. Twenty-two percent of women said they have little or no involvement in retirement planning.
A financial professional can be an objective third party who “can create the right conditions for couples to have the needed conversations,” Watson said.
There is more agreement among couples about what they want to do when they retire. “Most said there is no place like home, with six in 10 of all couples planning to remain in their own state when they retire, a trend that has increased steadily since 2015. During retirement, the top objectives are to spend time with family and friends, followed by relaxing at home and taking it easy. Travel, which had previously been at the top of many [couples’] retirement list in 2018, fell to the third spot, perhaps influenced by the events of the past year,” Fidelity said.
Forty-four percent admit to arguing about money at least occasionally and nearly one couple in five identify money as their greatest relationship challenge, “suggesting for many couples, a bit more practice is necessary before they go for the gold when it comes to financial bliss,” Fidelity said. “When it comes to communicating as a couple, the events of the past year have driven a third of couples to talk more about both day-to-day and long-term financial planning.’
The hardest subjects to approach are debt management, careers, and wills and estate planning, the study said. Fidelity said it is surprising that the percentage of couples who said they discuss their finances at least monthly declined in 2020 to 61% from 65% in 2018. The survey has been fielded since 2007.
For day-to-day finances and short-term goals, almost half of respondents had complete confidence in either their own ability to take over decisions or their spouse’s ability to make decisions. However, the study found only four in 10 said their spouses were as capable as they were in taking full control of retirement finances and strategy.
As in years past, the study continued to see women sometimes taking a back seat or doubting their abilities for managing longer-term planning and investing, the study found. While more women are taking part in planning as either a primary or joint decision-maker, women are still far more likely to credit their partners with having a better understanding of investing matters, with 56% of women indicating their partner is savvier. In comparison, only 34% of men say the same.
“The good news is over the last few years—this past year in particular—Fidelity has seen a seismic shift in women seeking out greater knowledge about investing and getting more engaged in planning for longer-term goals,” said Watson. “We know when women do invest, they see positive results that can help reach their goals faster, so building on this and encouraging active participation in household investing decisions can help both partners feel more confident about the future.”