When insurance firms launched social media initiatives, the results were rewarding.
BOSTON, April 14, 2014 /PRNewswire/ -- A recent survey of investors by John Hancock Financial Services found that half expect to receive a 2013 Federal income tax refund. Close to one in five (17 percent) plan to spend their refund, and the majority of that group (56 percent) plan to spend their refund dollars on a vacation. That's a significant increase from the first quarter of 2013, when only 36 percent said they planned to finance a vacation with their refund check.
Of the other refund spenders, 13 percent plan to treat themselves to a luxury item, up from nine percent in 2013, and one in seven (14 percent) plans to spend the funds on entertainment, down slightly from 17 percent last year. Others say they'll use the funds for basic household needs (23 percent), or to finance a big ticket item (nine percent).
Of those who aren't spending their refund check, 63 percent say they will funnel those dollars into a savings account. More than a quarter (29 percent) will pay down debt. A very small share (four percent) will contribute their refund to their employer-sponsored retirement plan, while 19 percent will invest it outside of employer-sponsored retirement plan.
Not everyone expects to get money back from the federal government. Thirty-one percent expect to owe taxes.
The findings were drawn from the first quarter 2014 John Hancock Investor Sentiment Survey, a quarterly poll of affluent investors. The survey measures investors' feelings about the current economic climate and their evaluations of what represents a good or bad investment given the current environment. The poll also asks consumers about their confidence in reaching key financial goals and likelihood of purchasing financial products and services.
About the John Hancock Investor Sentiment Survey
This online survey was conducted by independent research firm Greenwald & Associates. A total of 1,028 investors were surveyed from February 10th to February 24th, 2014. To qualify, respondents were required to participate at least to some extent in their household's financial decision-making process, have a household income of at least $75,000, and assets of $100,000 or more. The data were weighted by age and education to reflect the population of Americans matching the survey's qualification requirements. In a similarly-sized random sample survey, the margin of error would be plus or minus 3.12 percentage points at the 95 percent confidence level.
About John Hancock Financial and Manulife Financial
John Hancock Financial is a division of Manulife Financial, a leading Canada-based financial services group with principal operations in Asia, Canada and the United States. Operating as Manulife Financial in Canada and Asia, and primarily as John Hancock in the United States, the Company offers clients a diverse range of financial protection products and wealth management services through its extensive network of employees, agents and distribution partners. Funds under management by Manulife Financial and its subsidiaries were C$599 billion (US$563 billion) as at December 31, 2013. Manulife Financial Corporation trades as 'MFC' on the TSX, NYSE and PSE, and under '945' on the SEHK. Manulife Financial can be found on the Internet at manulife.com.
The John Hancock unit, through its insurance companies, comprises one of the largest life insurers in the United States. John Hancock offers and administers a broad range of financial products, including life insurance, annuities,investments, 401(k) plans,long-term care insurance,college savings, and other forms of business insurance. Additional information about John Hancock may be found at johnhancock.com.
SOURCE John Hancock Financial