Shifting expectations: Don’t let short-term challenges derail your retirement plans

If you want to have the retirement you envision, you need to start planning for it now. A financial professional can assist you in creating a strategy to help achieve your long-term goals.

The notion of a “traditional” retirement is rapidly evolving. For many Americans (61%), the retirement planning playbook of previous generations no longer applies. According to a recent Advisor Authority survey, powered by Nationwide Retirement Institute^®, three in five investors say their retirement expectations have changed significantly over the past five years.

Among pre-retirees aged 55-65, that number climbs even higher (65%). In light of these shifting expectations, it’s more important than ever to consider working with a financial professional to help ensure your retirement strategy stays on track.

Why are retirement expectations shifting?

Several factors are reshaping how many Americans think about retirement. Persistent inflation and rising costs mean a loss of purchasing power, both today and in the future. Health care expenses continue to soar and increasing life expectancies mean retirement savings need to last longer. 

Add in economic uncertainty, stock market volatility, and changing work patterns (i.e., remote/hybrid and increased use of AI-driven tools), and it's clear why many people are rethinking their retirement goals. 

A financial professional can help you navigate these and other challenges that come up along the way and adjust your strategy accordingly as your life changes.

The planning gap

Despite shifting expectations, most Americans aren't being proactive about retirement planning. We found that more than two-thirds (67%) of investors spend zero percent of their time planning for retirement in a typical month. Even among pre-retirees aged 55-65, who are closest to retirement, more than half (53%) aren't dedicating any time in a typical month to retirement planning.

This lack of planning has the potential to create a significant disconnect between retirement expectations and reality. But you can help make your dream a reality with proper planning. 

What’s more, the decisions you make today can significantly impact your financial future – that's why it’s so important to put a solid retirement plan in place sooner than later. Partnering with a financial professional can help you make smart financial decisions for today and tomorrow. 

How financial professionals can help support retirement readiness

Our survey uncovered several key areas where financial professionals are using their expertise to help hardworking people like you prepare for retirement:

Tax planning

Financial professionals are helping their clients with tax-planning strategies to help preserve more of their retirement savings and create more efficient retirement income strategies.

Health care planning

Health care costs remain a top concern, with financial professionals providing guidance on retirement health care and Medicare solutions. A financial professional can help you understand and plan for potential long-term needs so you can be prepared to manage your health care costs in retirement.

Income generation

Helping clients convert their retirement savings to income is a priority for many financial professionals. This may include things like helping you diversify your retirement portfolio to take advantage of investment growth potential while incorporating solutions such as annuity products to create reliable income streams.

Social Security optimization

Other financial professionals are helping clients with strategies for claiming Social Security benefits. The timing of when you claim Social Security can significantly impact your retirement income. Having a financial professional in your corner can help you better understand your benefits by giving you the tools and guidance to make informed decisions.

Long-term care planning

It’s important to consider long-term care options. Long-term care expenses can put a wrench in the best-laid of retirement plans, so it’s important to have strategies in place to help manage these costs should they arise. A financial professional can help you review options that support your needs and budget, ensuring that unexpected costs won’t derail your retirement goals.

Taking action: The value of professional guidance

If you aren't actively planning for retirement, now is the time to consider partnering with a financial professional, who can help you to:

• Assess your current retirement goals and stay focused on the long term despite short-term challenges
• Navigate market volatility with appropriate diversification strategies
• Understand how inflation might impact your long-term plans
• Evaluate your long-term care insurance and retirement health care needs
• Adjust your retirement income strategies as needed

Remember, retirement planning isn't a one-time event. Your personal circumstances, goals, and external factors, such as market and economic conditions, can change throughout your life. Checking in regularly with a financial professional and adjusting your plan as needed can help ensure you stay on track amidst evolving expectations.

Don't let these shifting expectations impact your retirement plans. Partner with a financial professional to create and maintain a retirement strategy that can adapt as needed. The financial professional you choose to work with can guide you with an objective perspective as you work toward your retirement goals.

Sources and Disclaimers

Survey source: Advisor Authority: Retirement Across America survey, powered by Nationwide Retirement Institute^®, February 2025.

Survey methodology: The Harris Poll, on behalf of Nationwide, conducted an online survey in the U. S. among 610 advisors and financial professionals and 2,496 investors ages 18+ with investable assets (IA) of $10K+, August 26-September 13, 2024. Among investors, there were 492 Northeasterners, 463 Midwesterners, 990 Southerners, and 551 Westerners. Among advisors, there were 135 Northeasterners, 137 Midwesterners, 195 Southerners, and 143 Westerners. The respondents were grouped into each region based on the state they indicated living in.

Regional cuts described in this study are defined as follows:

Northeast: Connecticut, Maine, Massachusetts, New Hampshire, Rhode Island, Vermont, New Jersey, New York, Pennsylvania

Midwest: Illinois, Indiana, Michigan, Ohio, Wisconsin, Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, South Dakota

South: Delaware, Florida, Georgia, Maryland, North Carolina, South Carolina, Virginia, Washington, D.C., West Virginia, Alabama, Kentucky, Mississippi, Tennessee, Arkansas, Louisiana, Oklahoma, Texas

West: Arizona, Colorado, Idaho, Montana, Nevada, New Mexico, Utah, Wyoming, Alaska, California, Hawaii, Oregon, Washington

Respondents for this survey were selected from among those who have agreed to participate in our surveys. The sampling precision of Harris online polls is measured by using a Bayesian credible interval. For this study, the sample data for advisors is accurate to within + 4.0 percentage points and for investors the sample data is accurate to within + 2.5 percentage points using a 95% confidence level. This credible interval will be wider among subsets of the surveyed populations of interest. The sample data for the subset of pre-retiree investors age 55-65 who are not retired is accurate to within + 6.7 percentage points using a 95% confidence level.