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As head of Barnum Financial Group, I often encounter individuals struggling with financial stress – whether it's saving for retirement, building an emergency fund, or paying down debt. To better understand these concerns, Barnum conducted a comprehensive study on the financial wellness of working Americans.
The study sheds light on common financial actions, challenges, and unmet needs, providing valuable insights that help me and my colleagues better serve our clients. By sharing the findings with the greater advisor community, we hope that our profession strengthens as a whole.
The study, which includes responses from 1,000 participants ages 18 to 70, found that saving for retirement ranks highest among financial goals, with 53% of respondents placing it in their top three priorities. Many individuals also desire "peace of mind" when it comes to their finances – something that 80% of respondents said financial planning could provide.
Key findings
When discussing financial freedom with our clients, we are finding that their top priorities often align with the study’s findings: being debt-free (42%), retiring comfortably (41%), and having money set aside for emergencies (37%). These goals reinforce how essential financial planning is, yet many people struggle to take the necessary steps to achieve them.
This tells us that, as a profession, financial planning needs to do a better job helping clients develop and review financial plans, maximize benefits, and create strategies for using savings effectively. However, the study reveals why many potential clients hesitate to seek professional help: 42% of respondents believe that they don’t have enough money to afford an advisor, 39% find the idea intimidating, and 35% lack trust in financial professionals.
In my role as head of Barnum, I am pleased to share these misconceptions so that the greater advisor community can provide clarity to those individuals who may feel uncertain about partnering with us.
For those who work with advisors, recommendations from friends, family, and colleagues play a crucial role in their decision. A strong client-advisor relationship often leads to referrals, and the study identified key factors that encourage recommendations: investment performance, excellent customer service, effective communication, a reputable brand, social events, and educational content such as webinars and newsletters.
Catering to different generations
Understanding generational differences is also essential in our work. Baby boomers (ages 59-70) typically rely on recommendations from trusted sources (25%), while millennials (ages 28-44) and Gen Z (ages 18-27) prefer financial investment websites (34%) and social media (11%). Surprisingly, Gen X (ages 45-58) is the least likely to have ever worked with a financial advisor, with 26% never having done so. Knowing these differences provides the advisor profession with key guidance on how to tailor its approach to meet the unique needs of each generation, which will help build stronger relationships.
Communication is key in our profession, and we need to strive to meet clients where they feel most comfortable. The study highlights varying communication preferences across generations – Gen X prefers in-person meetings (41%), whereas younger millennials (ages 28-35) opt for online video conferences (24%). Most respondents prefer getting basic financial questions answered through phone calls (23%) or emails (21%), and for time-sensitive issues, 35% prefer direct phone communication.
The study also highlights gender differences in financial decision-making. Compared to men, a greater percentage of women – 57% versus 44% – value an advisor who shares their personal values. Additionally, more women – 50% versus 41% – are apt to place emphasis on an advisor’s education. Again, we need to use this insight to better tailor our services.
However, I also recognize that younger millennials (33%) prefer a customized financial plan tailored to their needs. The motivation to work with an advisor often depends on specific financial goals – boomers (68%) and Gen X (62%) are primarily driven by retirement planning.
Freedom and security
Financial freedom was shown to be a concern across all generations. Younger millennials (ages 28-35) feel the most prepared (81%), while Gen X is the least confident, with 16% of this group feeling entirely unprepared. This suggests that advisors need to address with their Gen X clients the root of this lack of confidence, so that they can devise actions to increase it. As for the difference in preparedness between men and women, men (82%) generally feel more prepared than women (66%).
For many of those surveyed, financial security means retiring comfortably (48%), eliminating debt (46%), and having an emergency fund (43%). These concerns highlight the importance of proactive financial planning. Overall, the study serves as a reminder that regardless of age, income, or gender, taking steps toward financial preparedness can provide peace of mind and long-term security.
Ultimately, the insights gained from the study reinforce the key role that the financial advisor community plays in helping individuals meet their financial goals. By recognizing the challenges that we confront in doing so, we can better guide our clients toward a secure financial future, ensuring that they have the support and strategies needed to achieve their financial goals.
Download the entire study by visiting Barnum’s landing page.
Paul Blanco is the founder and CEO of Barnum Financial Group, a Connecticut based, award winning provider of comprehensive personalized planning, investment and protection solutions, and financial literacy programs to clients across the United States. He began his career in 1991 at MetLife, where he became the youngest inductee into the MetLife Managers’ Hall of Fame in 2003. A noted industry speaker, Paul has appeared on many radio and television programs as well as in national and local publications, providing insights on leadership, recruiting, philanthropy, and industry innovation.
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Advisor Perspectives welcomes guest contributions. The views presented here do not necessarily represent those of Advisor Perspectives.