Lincoln Financial Group’s M.O.O.D. of America Survey Finds a Disconnect Between Financial Optimism and Preparedness

While 81 Percent of Americans are Optimistic About Their Financial Futures and Expect Their Financial Situation Will Improve, Only 1 in 5 Feel Very Prepared When It Comes to Retirement and Other Financial Issues

Monday, June 29, 2015 12:10 pm EDT

Dateline:

RADNOR, Pa.

Public Company Information:

NYSE:
LNC
"Through education and empowerment, as well as the products, advice and solutions we provide, we can drive higher levels of engagement on this important issue and positively impact lives."

RADNOR, Pa.--(BUSINESS WIRE)--Lincoln Financial Group (NYSE: LNC) announced today the results of its latest Measuring Optimism, Outlook and Direction (M.O.O.D.) of America Survey that shows the majority of people polled (81%) feel optimistic about their financial future. That finding is up 13 percent from 2011, the first year the study was conducted.

Those positive feelings are further augmented by 59 percent of respondents saying they expect their financial situation will improve in the next year. This is nearly twice the amount from 2011, when just 33 percent said they expected their financial situation to improve. Additionally, 83 percent feel their lives are headed in the right direction, which is a significant increase over the 66 percent who reported feeling that way in 2011.

Optimism Alone Isn’t Enough

Despite good intentions, these positive attitudes alone are not translating into action-oriented behaviors. The data shows that only 1 in 5 Americans feel “very prepared” for retirement, protecting their wealth and handling income disruptions of varying durations.

“Lincoln Financial Group is committed to helping Americans take actionable steps in order to attain their financial goals for the future,” said Dennis R. Glass, president and chief executive officer for Lincoln Financial Group. “Through education and empowerment, as well as the products, advice and solutions we provide, we can drive higher levels of engagement on this important issue and positively impact lives.”

The research goes on to identify the top barriers to preparing for the future, which include a sense of feeling overwhelmed by the options for insurance coverage (70%) and retirement planning (67%), as well as the need to prioritize short-term expenses (65%). When it comes to becoming educated on those products and options, just 37% of Americans use advisors as a source of financial advice, which is higher than turning to online search and spouses/significant others.

“While most Americans are optimistic about their financial futures, it’s clear that many more could be turning that optimism into reality by engaging with financial planners and advisors to help secure the outcomes they are looking for,” said Will Fuller, president of Lincoln Financial Group Annuity Solutions, Lincoln Financial Distributors and Lincoln Financial Network. “Being educated and working with a professional advisor is the best route for many Americans – to receive the support and advice they need to maintain their lifestyle in retirement.”

“In Control” Equals A Take Charge Attitude

According to the study, 69 percent of Americans identified themselves as being “In Control,” a mindset that reflects how comfortable respondents feel about their overall life, personal/family health and financial future. This number is up slightly from 2011 (66%).

In Control Americans continue to feel more optimistic, empowered and prepared than those who aren’t. Of those Americans who are In Control, 94 percent feel optimistic about their financial future versus 53 percent of their counterparts. Specifically, they are more likely to own a variety of financial products in the insurance, annuity and retirement categories, as well as prioritize a number of actions to help create a more secure financial future.

Notable financial priorities of In Control Americans include the following:

  • Being debt-free (70%)
  • Making sure they have access to healthcare plans for themselves and their families (69%)
  • Protecting their wealth, assets or savings (66%)
  • Paying their credit card bill(s) in full each month (64%)
  • Putting money away for retirement (62%)

Lincoln Financial’s 2015 M.O.O.D. of America Survey is the fourth in a series where the company has polled Americans on various topics, including financial attitudes and behaviors. The first survey was conducted in late 2011, and released early in 2012.

Lincoln Financial Group plans to release additional M.O.O.D. of America data throughout 2015 and into early 2016. Upcoming releases will cover wealth protection; perspectives on life insurance products; annuities and group benefits; attitudes and behaviors among women; generational differences; and other demographic insights. The recently released Special Report: M.O.O.D. of America on Employee Benefits study is a companion piece that more closely examines non-medical workplace benefits and the ability of these products to heighten a worker’s confidence in their financial future.

For more information on the 2015 M.O.O.D. of America study, including documentation supporting the findings covered in this news release, please reference the PDF via this link.

About the M.O.O.D. of America

Results for the 2015 M.O.O.D. (Measuring Optimism, Outlook and Direction) of America poll are based on a national survey conducted by Whitman Insight Strategies (WINS) on behalf of Lincoln Financial Group from March 31 to April 9, 2015 among 2,273 adults 18 years of age and older across the United States.

The sample was weighted to reflect the proportion of adults 18 years of age or older by gender, age, region, race and Hispanic ethnicity based on data from the U.S. Census Bureau. The margin of error is ±1.9% at the 95% confidence interval for the entire sample.

About Lincoln Financial Group

Lincoln Financial Group provides advice and solutions that help empower Americans to take charge of their financial lives with confidence and optimism. Today, more than 17 million customers trust our retirement, insurance and wealth protection expertise to help address their lifestyle, savings and income goals, as well as to guard against long-term care expenses. Headquartered in Radnor, Pennsylvania, Lincoln Financial Group is the marketing name for Lincoln National Corporation (NYSE:LNC) and its affiliates. The company had $222 billion in assets under management as of March 31, 2015. Learn more at: www.LincolnFinancial.com. Find us on Facebook, Twitter (@lincolnfingroup), LinkedIn and YouTube. To sign up for email alerts, please visit our Newsroom at http://newsroom.lfg.com.

LCN-1234011-062415

Multimedia Files:

Lincoln Financial Group's 2015 Measuring Optimism, Outlook and Direction (M.O.O.D.) of America Survey: Supporting Documentation.
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Contact:

Lincoln Financial Group
Holly Fair, 484-583-1632
Media Relations
holly.fair@lfg.com