Health & Retirement

Planning for the Great Unknown

MONTH XX, 2016

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The data included in the presentation is from Health and Retirement: Planning for the Great Unknown study conducted by Age Wave on behalf of Merrill Lynch Global Wealth Management. The survey included a total of 5,424 respondents, with findings based on analysis of 3,303 respondents age 25+, representative of the U.S. national population by age, income, gender, and geography. By age breakdown, the 3,303 are: 785 Silent Generation (age 69-89), 2,153 Boomers (age 50-68), 192 Generation Xers(age 38-49), and 173 Millennials (age 25-37). Where noted, results from an additional sample of 2,121 affluent respondents age 50+ with at least $250,000 in investable assets (including liquid cash and investments, but excluding real estate) are included. Qualitative research (seven focus groups) was also conducted among both pre-retirees and retirees prior to the quantitative research.

The survey was conducted online by TNS and completed in May 2014. Age Wave is not affiliated with Bank of America Corporation.

Neither Merrill Lynch nor any of its affiliates or financial advisors provide legal, tax or accounting advice. You should consult your legal and/or tax advisors before making any financial decisions. This material should be regarded as general information on Healthcare considerations and is not intended to provide specific healthcare advice. If you have questions regarding your particular situation, please contact your legal or tax advisor.

Merrill Lynch Wealth Management makes available products and services offered by Merrill Lynch, Pierce, Fenner & Smith Incorporated (MLPF&S) and other subsidiaries of Bank of America Corporation.

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Are Not FDIC Insured Are Not Bank Guaranteed May Lose Value

Are Not DepositsAre Not Insured by Any Federal

Government AgencyAre Not a Condition to Any Banking

Service or Activity

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Baby boomers are redefining retirement.

20-30ADDED YEARS

OF LIFE EXPECTANCY

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Balancing health and finances supports a happy retirement.

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What’s yourBoomer HealthStyle?

32%CHALLENGED

& CONCERNED

29%HEALTHY & PROACTIVE

29%COURSE-CORRECTING

& MOTIVATING

10%LUCKY

BUT LAX

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Healthy & Proactive

Actively exerciseand eat well

Don’t let things get in the way of health

Have pride in staying healthy

Proactively research costs and insurance options

Discuss optionswith spouse

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Lucky but Lax

Enjoy relatively good health without key health behaviors

Rarely seek out information

Somewhat concerned about the impact of illness

Haven’t researched costs or insurance options

Most likely not discussed options with spouse

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Course-Correcting & Motivated

Experienced a health wake-up call

Have healthier behaviors

Actively seek out information about improving health

Very concerned about impact of illness

Haven’t discussed retirement health care with spouse

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Challenged & Concerned

Have chronic conditions

Life worries get in the way of good health behaviors

Have not researched costs and insurance options

Haven’t discussed retirement health care with spouse

Overwhelmed and confused

Seriously concerned about impact of illness

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Plan for your long-term health and finances.

#1FINANCIAL WORRY IN RETIREMENT IS HEALTH CARE

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Health can unexpectedly impact financial security.

UNEXPECTED EXPENSES

EARLY RETIREMENT

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Health care expenses are growing.

ONLY

37%OF PEOPLE AGE

50+ BELIEVE THEY’LL NEED

LONG-TERM CARE

BUT

70%WILL NEED

LONG-TERM CARE DURING THEIR

LIFETIME

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Family health care costs can impact you.

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Early retirement reduces time to build funds.

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Comprehensive planning involves education and taking charge of health.

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Acknowledge physical realities of aging.

NEARLY

130MAMERICANS

MANAGE ONE CHRONIC CONDITION.

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Alzheimer’s is the most worrisome disease.

55% WORRY ABOUT LOSING THEIR DIGNITY.

80% WORRY ABOUT BEING A BURDEN

ON THEIR FAMILIES.

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Good habits can mitigate potential health problems.

Baby boomers catalyzed fitness in America

Reduces risk of major illness, depression and impairment

Good diet improves health and enriches quality of life

Weight can affect risk of disease

EXERCISE

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Good habits can mitigate potential health problems.

Good diet improves health and enriches quality of life

Weight can affectrisk of disease

EAT NUTRITIOUSLY & MAINTAIN A

HEALTHY WEIGHT

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Good habits can mitigate potential health problems.

Contributes to overall physical, emotional and cognitive wellbeing

Main reason people return to work in retirement

CREATE SOCIAL CONNECTIONS

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Good habits can mitigate potential health problems.

Avoid smoking, stress and excessive drinking

Find ways to reduce stress

CHOOSE A HEALTHY LIFESTYLE

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Financial wellbeing requires planning ahead.

ELDERCARE

LONG-TERM CARE

CONTINGENCY PLANS

INCOME LOSS FROM ILLNESS

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Be prepared for any health event.

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Don’t forget about your other life priorities.

Leisure Home

Work

Giving

Health Finances

Family

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Take proactive steps.

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Talk with your family.

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Research and learn more.

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Your financial advisorcan help.

Thank you.[ADVISOR CONTACT]