The surveys also showed that 24% of Americans said they plan to go to a professional financial advisors for assistance for the first time. The surveys said financial professionals top the list of trusted sources for general financial and money management advice during the pandemic.
“I hope they follow through,” said Henderson. “An advisor can help them take the long view” and make contingency plans “in case things do not turn out the way we think they will. While we are all adjusting to our new environment, it’s difficult to gauge what could happen in the future, such as where the stock market is headed or what the impact of inflation will be in ten years.
“Therefore, consumers should focus on what they can control: building a strong financial plan that accounts for the unexpected, as well as optimizes tax strategies. By taking the right steps to plan for taxes in retirement, retirees can help offset potentially negative impacts to their retirement income,” he said.
The surveys showed 39% of people said they are likely to take money from their 401(k) or IRA because of the pandemic, which is a situation Henderson described as “scary.” Millennials are more likely to look to their retirement funds for immediate relief than other age groups.