The Insured Retirement Institute (IRI) announced today that two consumer education documents that have been reviewed by the Financial Industry Regulatory Authority (FINRA) are now available for download.
IRI says it has added the documents, one focused on the value of Social Security benefits and the other on common sources of retirement income, to its existing library of FINRA-reviewed documents. IRI says the educational materials are “a rich source of information to assist financial advisers in educating consumers about important retirement planning concepts.”
According to the first document, most Americans expect to receive Social Security benefits when they retire, but few realize that the average Social Security benefit is about $28,000 per year, or about $2,340 per month. This falls far short of average annual retirement expenses of nearly $46,000 per year, IRI says.
“This means that the average American may need over $17,000 per year in additional retirement income just to meet annual living expenses,” IRI says.
Citing recent research it conducted, IRI says many current retirees receive most of their retirement income from a combination of pensions and Social Security, but that will not be the case for most future retirees. According to IRI, 17% of today’s private sector workers have access to a traditional pension plan.
“Consumers looking for ways to boost their retirement income should contact a knowledgeable financial adviser to discuss their options,” IRI says, “including the use of products such as annuities that can provide protected lifetime income.”