Determinants of Seeking Financial Advice Among Older Adults
46 Pages Posted: 10 May 2014
Date Written: March 2, 2014
Using the Asset and Health Dynamics among the Oldest Old (AHEAD), this study presents the first longitudinal results analyzing factors among older adults associated with beginning and discontinuing the use of a financial advisor. Getting a financial advisor was positively associated with becoming a widow(er), asking family members for assistance with financial decisions, and initially seeing a doctor for help with emotional problems. Among single and widowed respondents, experiencing significant cognitive decline increases the likelihood of getting a financial advisor. Increases in income and net worth were also positively related getting a financial advisor. Dropping a financial advisor was negatively associated with becoming a new widow(er), getting married, and experiencing an increase in net worth. No longer involving family members in financial decisions was strongly related to dropping a financial advisor. Implications for practice are discussed.
Keywords: financial advice, help seeking, widowhood, financial advisor, AHEAD
JEL Classification: D14
Suggested Citation: Suggested Citation