In 2014, researchers at Pew Charitable Trust set out to determine just how politically polarized the country truly is.
A survey of Americans — one of Pew’s largest undertakings ever — proved what was likely evident to most: that Republicans and Democrats are farther apart ideologically than at any point in recent history.
Each party’s antipathy for the other had more than doubled in the past two decades, Pew found.
And for ideologues on both sides of the political aisle, compromise was defined of one side getting more of what it wants than the other.
Arguably, political polarization has increased in this year’s election cycle.
But new research from Lincoln Financial Group shows that on the issue of retirement, the country’s Republicans and Democrats are in lock step regarding their perspectives.
In fact, Lincoln’s 2016 Measuring Optimism, Outlook and Direction, or MOOD study, shows that on retirement issues, the parties are almost eerily similar, even in their apparent dissonance on retirement security.
Only 26 percent of Democrats and 25 percent of Republicans say they are managing retirement planning well.
Those are “very low numbers,” said Jamie Ohl, president of retirement plan services for Lincoln Financial in a video presentation accompanying the survey.
Yet 83 percent of Democrats and 80 percent of Republicans said they are optimistic, despite their lack of confidence in how they are planning for retirement.
A lack of confidence in budgeting was also low, and virtually equal between the two parties.
Members of both parties say they are overwhelmed by retirement planning at high rates: 68 percent of Democrats and 70 percent of Republicans say trying to understand their retirement plan options is overwhelming; and 64 percent of Democrats and 62 percent of Republicans say they are overwhelmed trying to understand insurance options.
About nine in 10 respondents from both parties said they don’t want to have to work in retirement, according to the survey.
“Our challenge as an industry is how do we bridge the confidence gap with the desire to not have to work in retirement,” said Ohl.
Both Democrats and Republicans have a “family first” perspective when it comes to financial planning: 87 percent of Democrats and 90 percent of Republicans said they want to plan for their financial future so that their families can be adequately cared for.
As an institution, financial advisors are viewed much more favorably than government institutions, Ohl said.
Nine in 10 respondents in both parties said they have more confidence with their financial security when they do work with an advisor.
And 95 percent from both parties said they trust their advisors.
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Nick Thornton
Nick Thornton is a financial writer covering retirement and health care issues for BenefitsPRO and ALM Media. He greatly enjoys learning from the vast minds in the legal, academic, advisory and money management communities when covering the retirement space. He's also written on international marketing trends, financial institution risk management, defense and energy issues, the restaurant industry in New York City, surfing, cigars, rum, travel, and fishing. When not writing, he's pushing into some land or water.
