Poll Results: What People Think Will Help Their Retirement, and Why They’re Missing the Point

A recent poll by Nedbank asked the question, “Which of these will make your life easier when you retire?” The options were:

??????????? ?????????? Zero monthly bank fees

??????????? ?????????? Rewards in cash

??????????? ?????????? A finance coach

The results were clear: 44% of respondents chose zero monthly bank fees, 38% selected rewards in cash, and only 18% opted for a finance coach.

At first glance, the results may seem logical. Who wouldn’t want to reduce their expenses or receive rewards? However, these two choices—while certainly helpful—miss the bigger picture. When stacked against the long-term value a financial coach can provide, they fall short.

Understanding Retirement Needs Beyond Surface-Level Savings

It’s not surprising that most people instinctively choose options like reduced fees or cash rewards. They represent immediate, tangible benefits. Saving on fees or earning some extra cash sounds like a quick win. However, these are minor tweaks in the grand scheme of financial health, especially when planning for retirement, a phase of life that requires much more than surface-level savings.?

Let’s break it down:

??????????? ?????????? Zero monthly bank fees could save you a few hundred or thousand rand per year.

??????????? ?????????? Rewards in cash might give you short-term incentives, like loyalty points or cash back on your purchases, which also adds up over time.

But these benefits are limited. They offer some relief but do little to ensure that your retirement is truly secure. Focusing too much on immediate savings can cause people to overlook the deeper financial strategies that will matter far more when the time comes to stop working.

The Real Value of a Financial Coach

Choosing a financial coach means opting for a long-term strategy. A coach doesn’t just give you tips to save here and there—they help you navigate the complexities of retirement planning, from tax-efficient investments to mitigating risks that might otherwise derail your retirement dreams. A financial coach gives you knowledge, guidance, and a tailored plan to ensure you not only retire comfortably but stay secure throughout retirement.

As I commented on the poll, “Few people understand money, but everyone thinks they do.” This is not an indictment but an observation. Managing personal finances is far more complicated than it appears. Sure, many people may feel comfortable handling their bank accounts or even making an investment here and there, but true financial strategy—especially when it comes to retirement—requires expertise.

A financial coach can help you with:

??????????? 1.???????? Tax-efficient investments: Without the right knowledge, you could be paying more in taxes than necessary, chipping away at your retirement savings.

??????????? 2.???????? Diversified portfolios: Cash rewards and fee reductions won’t protect you from inflation or market volatility. A well-diversified portfolio, managed by an expert, can.

??????????? 3.???????? Mitigating risk: Life is unpredictable, and a financial coach can help you anticipate and prepare for the unexpected, whether it’s medical expenses, economic downturns, or changes in your personal circumstances.

Why We Should Be Teaching This in Schools?

One of the striking observations from the poll results is the general underestimation of the importance of financial literacy. Despite its life-altering importance, financial literacy is rarely taught in schools. Imagine if we were taught how to make our money work for us as early as possible. Instead of struggling to figure out investments, savings strategies, and retirement plans later in life, we could be building a solid foundation from a young age.

I believe that financial literacy, including the role of a financial coach, should be part of the standard school curriculum. Just like math or language skills, managing money is a skill that everyone needs to master. A financially savvy society is one that thrives—not just at an individual level but at a societal level as well.

Michiel Snyman

Franchise Principle and Senior Financial Planner

Consult Morningside

0829200659

[email protected]

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