Pros and Cons of Retirement: Financial Literacy and Its Implications for Wealth Management
Document Type
Article
Publication Date
Summer 2025
Abstract
This article explores the interconnected roles of financial literacy, wealth management, and retirement planning in shaping financial well‑being. While previous research has examined financial literacy extensively, the combined impact of financial literacy and wealth management on retirement outcomes remains less explored. Using a dataset that includes lifestyle and wellbeing data (Kaggle.com 2021), which collected over 12,000 survey responses between 2015 and 2021, we employ a partial least‑squares path model (PLS‑PM) to analyze the relationships between financial literacy, wealth management, and retirement. Our findings suggest that while financial literacy alone has a significant impact on retirement, incorporating wealth management further enhances retirement outcomes. The results underscore the importance of financial literacy across all population segments, and highlight the role of finance professionals in promoting effective wealth management. Ultimately, our research adds to the growing literature, demonstrating that financial literacy and wealth management together can significantly improve retirement well‑being.
Publication
The Journal of Wealth Management
Publisher
Portfolio Management Research (PMR)
Volume
28
Issue
1
Pages
125-143
Department
College of Business and Management
Peer Reviewed
1
Recommended Citation
Spohn, D., Zapalski, C. R., & Levenstam, D. (2025). Pros and cons of retirement: Financial literacy and its implications for wealth management. The Journal of Wealth Management, 28(1), 125–143. https://doi.org/10.3905/jwm.2025.1.269
Comments
David Spohn is an associate professor of finance, specializing in wealth management, at the Lynn University College of Business and Management in Boca Raton, FL. (dspohn@lynn.edu)
Christopher Zapalski is an associate professor and assistant dean at the Lynn University College of Business and Management in Boca Raton, FL. (czapalski@lynn.edu)
David Levenstam is an adjunct professor of economics at the Lynn University College of Business and Management in Boca Raton, FL. (dlevenstam@lynn.edu)