American households in the 41-45 age group have an average of $158,887 in financial assets, while those in the 46-49 age group average $167,556, according to the LIMRA Secure Retirement Institute’s Fact Book on Retirement Income 2014.
LIMRA tracked the liabilities as well as the assets of these groups. Among the 41-45 age group:
- 97% have a mortgage and an average mortgage debt of $166,921.
- Beyond mortgage and credit card debt, 65% have on average $26,384 of other types of debt (car loans, student loans, personal loans, etc.).
Among ages 46-49:
- 84% have a mortgage with an average mortgage debt of $209,342.
- 71% have on average $50,654 of other debt, as defined above.
Advisors with clients in their 40s need to know what kind of debt load they are carrying, LIMRA said in a release. If these key saving years are dedicated to servicing high debt, clients will lose a significant opportunity for long-term growth in their retirement accounts.
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