Advisers ignoring retirees’ housing

Email to a Friend

A new study found that your financial adviser might overlook a huge component of your retirement plan.

Housing is a huge expense in retirement planning, particularly if medical care is involved, according to the study. However, only 14 percent, or 71 of the 506 financial advisers who were surveyed in January 2014 by asset-management company Legg Mason, included plans for their clients’ housing in their retirement plans. Disappointingly, 40 percent of those surveyed—202 advisers—said they don’t even bring up the subject of retirement housing, because their clients don’t ask about it. An alarming 26 percent, or 131 advisers, said they don’t know enough about the topic.

Decisions about retirement housing frequently involve medical experts and other family members, says Eleanor Blayney of Certified Financial Planner Board of Standards, so advisers see it as a “personal, private issue.” However, if your adviser hasn’t brought up retirement housing, then you should, she says.