It wasn’t too long ago that headlines blared “The Mass Affluent Lack Confidence” and “Mass Affluent Worried About Retirement.” Today, however, the mass affluent are feeling more secure about their retirement preparedness. While that’s great news, such confidence can easily become complacency.
Much of the mass-affluent financial success story can be attributed to the hard work and dedication of financial professionals who, over the past decade, have employed holistic planning to help clients accumulate wealth, protect their assets and secure dependable lifetime income in retirement.
However, as positive as this scenario is for many, there is always more that can be done – particularly if you have clients who are not feeling secure about their future.
Uncovering the source of their angst can help you deliver guidance, tools and solutions to boost their financial confidence.
Taking The Pulse Of The Mass Affluent
According to Prudential’s recently released 2025 Global Retirement Pulse Survey, 89% of mass affluent individuals in the U.S., defined as people with more than $100,000 in investable assets, believe they have enough accumulated to cover essential costs in retirement.
People have good reason to feel good about their overall financial security: The total net worth of U.S. households continues its upward trend, boosting the bottom lines of the mass affluent.
Gallup reports that in 2025, 87% of this demographic were equity investors. The continued bull market in stocks has driven retirement plan and investment account balances higher. In fact, as of Q2 2025, Fidelity said there were nearly 600,000 401(k) millionaires in the U.S., a record. While we all know stocks don’t always rise, and a correction could be coming, investors are currently sitting on sizeable gains.
Additionally, rising home prices have added to the “wealth effect” driving confidence. Rising real estate valuations and low supply are negatives for house hunters, but existing homeowners continue to see what may be their single largest asset rising in value consistently.
Stronger GDP, Fed rate cuts, steady employment, calming geopolitical tensions and inflation hovering around 3% are all adding to higher consumer confidence, a forward-looking economic indicator.
Can Confidence Compromise Outcomes?
Against this backdrop, it’s not surprising that investors with means are feeling more confident about their ability to maintain their lifestyles in retirement. But as the Prudential study illustrates, there is a paradox where high optimism about retirement among the mass affluent doesn’t necessarily translate into effective action on the part of many to ensure continued retirement readiness. That’s where financial professionals can step in to demonstrate their value.
Our survey highlights that only 37% of the mass affluent work with a financial advisor regularly, with another 24% seeking occasional advice. That leaves a large percentage of investors who need expert guidance and support in their retirement planning.
A large percentage of investors need expert guidance and support in their retirement planning.
Furthermore, we found that only 30% of the mass affluent in the U.S. have a formal written retirement plan to help them visualize their future and understand how to fund it securely. While they may feel confident about retirement, without a professionally crafted financial plan, they often overlook the potential impact of inflation, healthcare costs, taxes and market volatility on their withdrawal strategies.
As a financial professional, you can help transform your clients’ confidence into reality by working with them to create financial plans that capture the full scope of their retirement:
- The costs associated with unexpected expenses that could derail their plans for retirement, like healthcare and family emergencies
- The importance a thoughtful Social Security benefits strategy can play in their retirement cash flow
- A realistic and thorough accounting of how much will actually be needed to maintain a lifestyle in retirement
- A customized withdrawal strategy that makes sense for each client based on their needs, wants and legacy goals
- The impact of taxes and the sequence of withdrawals on their retirement strategies
Guaranteed Income Solutions = Preferred Solutions
Given a choice regarding their preferred source of retirement income, 66% of mass affluent survey respondents said they would prefer to receive a guaranteed monthly income for life.
After years of differing opinions and confusion about their features and benefits, guaranteed lifetime income products have surged in popularity in recent years, with total U.S. sales reaching record highs in 2024.
These guaranteed income solutions can turn confidence into action by delivering protected income for life.
This trend has continued in 2025, driven by a wave of older Americans seeking stability in an uncertain economic environment. These guaranteed income solutions can turn confidence into action by delivering protected income for life, helping to protect future income from market downturns, offering flexible, tax-efficient investment choices and providing an important estate planning tool.
As a financial advisor, if you are not talking with your clients about guaranteed lifetime income solutions as part of a comprehensive retirement strategy, your competition might be.
The wealth management industry has the power to make a meaningful difference in the lives of clients by turning confidence into action. By providing advisors with the right tools, guidance and solutions, the best home offices can be at the forefront of helping clients protect their life’s work and reframe retirement on their own terms.
Pat Hynes is the President of Prudential Advisors, with a network of over 3,000 financial professionals.
