Supply chain issues and inflation are affecting business owners’ bottom lines – and their retirement accounts.
Inflation topped the list of concerns for business owners, according to a TD Wealth survey of more than 700 business owners with $100,000 in investible assets and more than one employee. Economic uncertainty followed closely behind in the second spot.These fears are propelling some entrepreneurs to change their retirement plans.
The concerns aren’t far-fetched. Inflation hit a 40-year high last year and supply chain issues have caused shortages across the sectors, from baby formula to garage doors.Younger business owners were more likely to make changes. Half of the business owners 55 and older said they altered their retirement plans, compared with 70% of owners 18 to 34 years old and 74% of owners 35 to 54 years old.
Investors are better off when they have a plan in place for their money and retirements, said James Beam, senior vice president and head of investment management, brokerage, planning and strategy at TD Wealth. “Without a plan or assessment, it is tough to determine where you’re at,” he said.