But experts say good planning and embracing the
growing share economy can make travel a reality
MINNEAPOLIS, Dec. 6, 2016 /PRNewswire/ - It's no surprise that
travel is an important retirement goal for the majority of
Americans, but for many, concerns about the rising costs of a life
of adventure may stand in the way of making that goal a
reality.
According to a recent RBC Wealth Management poll, three in five
(63 percent) of Americans age 50 and older say travel is an
important retirement goal. Yet more than half express concern that
the high cost of travel could prevent them from achieving that
goal.
"Everyone is worried about whether they will have saved enough
to fund a comfortable retirement," said Tom
Sagissor, president of RBC Wealth Management-U.S. "The
closer people get to retirement age, the more they begin to look at
needs vs. wants. Often times, because of fear, the needs win out,
putting bigger dreams like a trip to Greece or Beijing on hold. But there are many ways to
rebalance assets to make travel, if that is indeed a goal, a
reality."
In fact, with the advent of the global sharing economy, travel
may be more within reach for the current generation of retirees
than ever before. Vacation home rental sites, local car
sharing and even bike and sports equipment rental sites are making
it easier for people to escape and explore new destinations for
less.
"More and more clients are coming to our advisors for help in
learning how to use the "shared economy" more strategically in
retirement," said Griffin Geisler,
manager of the Wealth Center at RBC Wealth Management-U.S. "While
it's a trend started namely by millennials, Baby Boomers in or near
retirement can certainly stand to benefit."
Beyond the potentially prohibitive cost of travel, a majority
(52 percent) of Americans also said that concerns about safety and
terrorism could prevent them from traveling. Americans were far
more likely than their Canadian peers to feel this way.
Personal health is another major barrier that can get in the way
of travel plans. One third (31 percent) of Americans said their own
personal health or a loved one's health could prevent them from
traveling abroad. Americans also worry about possible health
concerns that may come up while abroad, two in ten (21 percent) say
that the cost of travel/medical insurance is a burden, and 15
percent are concerned about insurance coverage if they get sick or
injured.
These are some of the findings of an Ipsos poll conducted on
behalf of RBC Wealth Management from September 30 to October 4, 2016. For the survey,
a sample of n=1256 Americans aged 50+ was interviewed online via
Ipsos's American online panel. The precision of Ipsos online
surveys is measured using a Bayesian credibility interval. In
this case, with a sample of this size, the results are considered
accurate to within ± 3.2 percentage points, 19 times out of 20, of
what they would have been had all Americans aged 50+ been
polled.
About RBC Wealth Management-U.S.
In the United States, RBC Wealth Management
operates as a division of RBC Capital Markets, LLC. Founded in
1909, RBC Capital Markets, LLC. is a member of the New York Stock
Exchange, the Financial Industry Regulatory Authority, the
Securities Investor Protection Corporation, and other major
securities exchanges. RBC Wealth Management has $279 billion in total client assets with 1,800
financial advisors operating in 200 locations in 41
states. For more information about RBC Wealth
Management-U.S., visit http://www.rbcwealthmanagement.com/
SOURCE RBC