COVID-19 has been a financial wake-up for many, but it has nearly half of Americans delaying their retirement.
Forty-three percent of Americans said they are delaying their planned retirement date due to the coronavirus pandemic, while another 37% said they had to dip into their retirement fund in order to cover costs during the pandemic, according to a new study.
Conducted by OnePoll with nonprofit Life Happens, the study found that three in 10 respondents said the pandemic has made them discuss important matters of life insurance coverage and their current financial status. As the COVID-19 crisis slashed millions of jobs across the country, more than a quarter of respondents said they have discussed future emergency plans due to the virus.
But conversations about future plans aren’t going so easy for respondents. Nearly seven in 10 said they wish their conversation was more fluid with their partners about finances, as quarantine has made it difficult to discuss financial matters, especially around the dinner table.
“Millions of Americans have been impacted financially by COVID-19, with the pandemic serving as an unfortunate reminder that financial preparedness and security can be a lifeline during these uncertain times,” said Faisa Stafford, president and CEO of Life Happens, in a press release. “What’s clear from this study is that people are more willing to have those uncomfortable yet critical conversations about finances and life insurance – and in turn, take positive financial action, too.”
Top financial changes due to COVID-19
1. Cut excess spending – 49%
2. Continue working and delay their planned retirement date – 43%
3. Build up savings and emergency funds – 45%
4. Focus on paying down debts – 24%
Top topics discussed with partner/family during COVID-19
1. Wills and inheritance – 33%
2. Current health issues and concerns – 32%
3. Life insurance coverage – 30%
4. Current financial status – 29%
5. Emergency savings – 27%
6. Future emergency plans – 26%
7. Politics – 25%
8. End of life plans – 25%
9. Delaying plans to retire – 21%
10. Moving or selling a home – 17%