Jackson Releases Exclusive Research on ‘Golden Generation’ Attitudes to Retirement Spending

The results show that pensioners have a propensity for annuities; reveal the possibility of better educating retirees on the value of guaranteed income solutions

LANSING, Michigan, December 06, 2022–(BUSINESS WIRE)–Jackson National Life Insurance Company (Jackson^®), the principal operating subsidiary of Jackson Financial Inc. (NYSE: JXN), today announced the results of recent quantitative surveys¹ that reveal insights into how people at or near retirement age plan for their financial future. The proprietary research surveyed investors between the ages of 50 and 80 (the “Golden Generation”) who were retired or planning to retire in 10 years and on the goal of having $250,000 or more in assets financial. Several themes emerged, including an understanding of a cohort of people who value certainty so much that they organize their lives to obtain it, as well as a counter-intuitive difference between self-spending “spenders” and “savers”. identified related to retirement.

“In many ways, the Golden Generation serves as a strong role model for all Americans hoping to achieve financial freedom for life,” said Aileen Herndon, senior vice president of distribution marketing for Jackson National Life Distributors LLC (JNLD). , Jackson’s marketing and distribution business. “Our research demonstrates that many members of the Golden Generation made smart, intentional decisions leading up to their ‘Golden Years’ – such as living within their means and placing a high value on guaranteed income until retirement – allowing them to spend less worry about their finances once out of the labor market.”

Key research findings include:

• Members of the Golden Generation have sought employment that provides a retirement benefit.

• People with pensions are more likely to purchase an annuity to ensure a sufficient amount of guaranteed income in retirement.

• There are surprising differences in preferred retirement solutions between those who identified as “spenders” and “savers.”

  • While it is rational to assume that spenders would turn to retirement solutions that allow for consistent purchases – such as pensions and annuities with guaranteed income for life – the reverse is true: spenders are less likely than savers to to have a guaranteed source of income.

    • 49% of mid-retirees⁴ savers prefer the security of buying protected income versus only 27% of mid-retirement spenders.

    • 75% early retirement⁵ savers have a pension compared to 55% of those who spend early retirement.

    • 83% of mid-retirement savers have a pension compared to 64% of mid-retirement savers.

  • Although basic demographics such as gender, overall wealth and working with a financial professional are similar between spenders and savers, 17% of savers are “not at all worried” about living in the above their average life expectancy, while only 9% of spenders report a similar lack of concern. Additionally, 14% of savers are extremely confident that they have the savings to fund their life for another 10 years, while only 6% of spenders feel the same way.

The story continues

Glen Franklin, Director of Research and Client Insights for JNLD, commented: “Our research revealed the paradoxical finding that those without a pension are less likely to see the value of guaranteed income, even if they have one. Guaranteed Income is often marketed as a worry-free way to spend, however, our research shows that it would be more effective to portray Guaranteed Income to this demographic as a way to protect savings. significant opportunity for financial professionals to continue educating their clients on the value annuities and lifetime income can provide in retirement.”

Finance professionals interested in learning more about Jackson’s product offerings can contact the company at 1-800-711-7397, contact their local wholesaler, or visit https://www.jackson.com/annuities.html.

ABOUT JACKSON

jackson^® (NYSE: JXN) is committed to helping clarify the complexity of retirement planning for finance professionals and their clients. With our suite of annuity products, financial know-how, award-winning service history* and streamlined experiences, we strive to reduce the confusion that makes retirement planning difficult. We take a balanced, long-term approach to responsibly serving all of our stakeholders, including customers, shareholders, channel partners, employees, regulators and community partners. We believe that by providing clarity for everyone today, we can help achieve better results tomorrow. For more information, visit www.jackson.com.

* Service Quality Measurement Group (SQM) Contact Center Awards Program for 2004 and 2006-2021, for the financial services industry. (To achieve world-class certification, 80% or more of surveyed call center customers must have rated their experience as very satisfied, the highest rating possible).

jackson^® is the trading name of Jackson Financial Inc., Jackson National Life Insurance Company^® (Headquarters: Lansing, Michigan) and Jackson National Life Insurance Company of New York^® (Home office: purchase, New York).

Before investing, investors should carefully consider the investment objectives, risks, charges and expenses of the variable annuity and its underlying investment options. The contract’s current prospectus and the prospectuses of the underlying funds provide this and other important information. Please contact your financial professional or the Company to obtain the prospectuses. Please read prospectuses carefully before investing or sending money.

Annuities are long-term, tax-deferred vehicles designed for retirement. Variable annuities involve investment risks and may lose value. Gains are taxable as ordinary income when distributed. Individuals may be subject to an additional 10% tax for withdrawals before age 59.5, except for tax exceptions.

Annuities are issued by Jackson National Life Insurance Company and in New York by Jackson National Life Insurance Company of New York. Variable annuities are distributed by Jackson National Life Distributors LLC. May not be available in all states and state variations may apply. These products have limitations and restrictions. Contact Jackson for more information.

Coverages are backed by the claims-paying ability of the issuing insurance company.

See the source version on businesswire.com: https://www.businesswire.com/news/home/20221206005911/en/

contacts

Courtney Sipperley
[email protected]