Consumers continue to watch the roller coaster of their retirement planning, especially if portions of their retirement savings involve investing in the market. Some days are good. Some days are bad. Some days are up. Some days are down. Either way, speculation is affecting most consumers’ thoughts about putting extra dollars into stock-driven strategies.

This fear also has quelled some people’s thoughts about taking those steps into retirement as no one wants to see their 401(k) accounts fluctuating daily when they need those earmarked funds for fun, healthcare, bills, and everything else that could impact their future retirement budget.

F&G recently cited these concerns in their Retirement Reconsidered 2025 report with half of Americans over 50 stating the economic volatility has them skeptical about being ready to retire. More than two-thirds (70%) of pre-retirees over 50 (1) are considering or delaying their planned retirement date.

Per the report, nearly a quarter (23%) of pre-retirees said they are definitely pushing back their planned retirement date, up 14% from 2024 – reflecting growing concerns about overall financial retirement readiness. Reasons cited for delaying retirement include:

• 48% are worried they won’t have enough money for retirement
• 44% are worried about inflation
• 42% want more financial options and a larger safety net
• 34% are worried about a recession/stock market downturn

Moreover, nearly a third (29%) of retirees say they are considering a return to work or “unretiring,” per the F&G report. The number jumps to 54% when looking at younger or early retirees in Generation X, compared to their older Baby Boomer counterparts (28%). When examining why retirees would rejoin the workforce, it’s split between financial and personal reasons:

• 42% enjoy the intellectual challenge/stimulation from working
• 40% would like to have more financial options
• 36% are worried about inflation – vs. 44% in 2024
• 33% don’t want to feel a lack of purpose

Nationwide also echoes these consumer fears about retirement. According to a new Advisor Authority study, powered by the Nationwide Retirement Institute, more than two-fifths (42%) of pre-retirees say their dreams for retirement have been delayed, altered, or cancelled as a result of economic conditions seen in the last five years.

Per the report, these conditions include the increased cost of living, cited by 51% as one of the biggest long-term challenges to their retirement portfolio, and inflation, with 15% saying they will retire later than planned because of it. Overall, nearly six in ten (59%) pre-retiree investors say their expectations for retirement have changed significantly in the last five years. At the same time, many also indicate they do not subscribe to traditional retirement norms and strategies in the same way previous generations have, citing today’s economic environment as the cause.

AIP Marketing Alliance has heard the same concerns that F&G and Nationwide have reported in these articles. Our team continues to use the word “protection” with our downline wholesalers and agents as most of your clients are looking for guidance with their retirement planning – especially during bear market-like conditions of economic fluctuation.

Enter the annuity discussion. AIPMA has heard some financial professionals use the term “recession proof” for annuity products, and most annuities could provide the protection, accumulation, and guaranteed lifetime income as part of a retirement strategy.

Annuities can be positioned to best align with your clients’ and prospects’ retirement planning as most consumers may not understand the benefits and flexibility of these insurance products. An annuity can provide short-term accumulation with a locked-in rate of return (more than 5% with most MYGA products up to 7 years) or even long-term payouts as an annuity is one of the only retirement products that could provide lifetime guaranteed income.

Fixed annuities and fixed indexed annuities are additional options where the original principal is protected during the selected term, but offers more potential accumulation based on the product, caps, indexes, and other factors.

Either annuity choice could give your clients and prospects and option for accumulation, tax deferral, and protection – and reduce the risk and fear caused by market conditions on other retirement products. As a reminder, annuity rates are paid based on the claims paying ability of the carrier and are not FDIC insured.

Right now, it’s a great time to open up that discussion with consumers and show them these options. Helping a client or prospect to understand the benefits of annuities could reduce their fear and possibly stay on pace with their desired retirement date/plans.

AIP Marketing Alliance also has online annuity tools on its agent portals to compare annuities, show differences in products, and help consumers find an annuity that aligns with their retirement strategy. We also are contracted with more than 70 insurance carriers nationwide, which means AIPMA can provide your agents with multiple different products to discuss during appointments.

Are you selling annuities? Do you need access to more carriers and products? Are you using tools like Annuity Rate Watch or Wink’s AnnuitySpecs to compare annuities and find an annuity that best fits your clients’ interests? If you answered “no” to any or all of the above, then you should consider talking to AIPMA about how we can help you and your downline agents sell annuities before 2025 runs out.

We want you to STRIVE in ’25. Contact Chris Howe, Vice President of Business Development, at (248) 312-2602 or [email protected] to learn how AIPMA’s capabilities can align with your goals. The difference is personal.

For more than 40 years, AIP Marketing Alliance (AIPMA), an Integrity Company, serves as a premier life insurance and annuity distribution partner to provide full-service support to independent wholesalers, brokerages and agents from our Troy, Michigan office. NOT AFFILIATED WITH OR ENDORSED BY THE GOVERNMENT OR THE MEDICARE PROGRAM.

AIP Marketing Alliance is committed to STRIVE in ’25 as we support our independent insurance wholesalers and agents. Visit our blog on aipma.com to stay informed on these upcoming launches and learn why wholesalers nationwide choose AIPMA as their distributor for selling life insurance, annuities, long-term care insurance, final expense, and much more. Ask about our lead services, myAIP CRM platform with customizable recruiter portal, and online tools/resources designed to grow your business. The difference is personal.

AIP Marketing Alliance, an Integrity Company, has developed this electronic communication for informational and educational use only. Be advised, AIP Marketing Alliance, Inc. does not provide legal advice, tax advice, or guidance on issues involving securities laws, insurance laws nor securities or insurance regulations. This material should not be relied on as providing any such advice or guidance to either agents or retail consumers. Within this communication, AIPMA shares links for usage as information only. This content should not be interpreted as solicitation to purchase life insurance, annuities, or other products or as advice designed to meet your clients’ specific needs. Content involving fiduciary, tax, or legal advice should be directed to your legal, tax, and financial professionals for specific advice or product recommendations. AIPMA will not accept any legal liability resulting from any use of 3rd party material(s).

(1) Survey fielded Americans age 50+ that own any financial products and have a net worth of $100,000 or more. Gen X survey respondents reflect ages 50-59.