Nationwide financial retirement institute did a survey on consumers. What they discovered is that most of those who are retired or ten years away from retirement said that their financial advisers are not speaking to them about social security.
It’s important for advisers from a client-retention perspective because 4 out of 5 people answered that they would most likely switch advisers if social security was a topic not being covered. Advisers must take interest because clients will move on. When you think of a retirement planning process, social security makes up around 40% of the that. Those that turn on social security too early in life may lose up to $300,00 over 25 years. That’s $12,000 a year, or $1,000 dollars lost every single month.
Why are advisers avoiding it? David Luther Giertz is a financial adviser employed by Nationwide Investment Services Corporation in Dublin, Ohio and has over 31 years of experience with four exams passed, as well as a broker registration. He explains that it’s due to the fact that the social security handbook has 2700 rules. This is a lot of information to comprehend. Part of what makes a good adviser is an understanding and confidence of all those rules, and most advisers are seemingly not willing to put in the work.
David Giertz is registered as a broker with FINRA. This is also known as a broker-dealer registered rep, or RR for short. Brokers work for large brokerage firms as the sales personnel and deal with the buying and selling of stocks, bonds, mutual funds, and other investment-related securities. If registered with FINRA, these firms are able to engage in securities transactions for it’s clients as a broker, or for itself as a dealer.
Mr. David L. Giertz, also known as Dave, worked as the Senior Vice President-Nationwide Financial Distribution and Sales at Nationwide Life Insurance Company since 2013 and is an authority figure in the industry. Mr. Giertz also serves as President, Senior Vice President and Director for other Nationwide companies.
Financial advisers, if they wish to retain customers need to become well versed in social security and start going over it with their clients. If clients wish to optimize their social security and ensure that there are no missed opportunities, it’s important that they do make the switch, and find an adviser who is proficient in the topic.