More Australian seniors are turning to financial advisers for reliable information about their retirement finances, according to new research conducted by National Seniors Australia and released by Challenger.
However, few of them turn to banks for such advice, compared to financial planners or super funds.
The research found that six out of 10 seniors now seek professional financial advice – significantly higher than the one-in-four superannuation fund members who do so.
It said the most common sources of financial information about retirement were financial advisers (59 per cent), super funds (42 per cent) and Centrelink and Government offices (40 per cent).
It said just 19 per cent of older Australians turned to banks and, contrary to popular belief, family and friends were not highly rated as a source of financial advice.
Commenting on the survey, Challenger Retirement Income chair, Jeremy Cooper said older Australians were becoming more savvy about the challenges they faced in making savings last throughout a long retirement so it was not surprising more of them were engaging financial advisers.
National Seniors research director, Professor John McCallum said managing finances in retirement was more complicated than saving for retirement, particularly given increasing lifespans.
“It can be particularly difficult when it comes to paying for aged care for a spouse or partner while the other person wants to remain living in the family home,” he said. “So it makes sense for people to seek reliable, professional financial advice when they are making what can be life-changing decisions.”
