Posted on 09/03/2012 3:51:37 PM PDT by TurboZamboni
Just how much the Great Recession reshaped baby boomer retirements is becoming clearer: More than ever they expect to retire later or work when they're "retired."
In 1991, just one in 10 workers told the Employee Benefit Research Institute that they planned to wait to retire until they were older than 65. By 2007, three in 10 said that.
This year? More than four in 10.
Boomers cruising toward a traditional retirement suffered a financial comeuppance in the economic slump that began in late 2007. The downturn sapped jobs, stock and housing values, and interest on savings.
Many also were caught in the shift from defined-benefit pension plans to 401(k) plans that required workers to contribute toward their own retirement savings. Some didn't, a choice that will leave them short financially.
Small wonder that, according to the Pew Research Center, boomers are the gloomiest of all age groups about the health and future of their finances. Boomers were more likely than other age groups to tell Pew researchers that they lost money on investments since the recession hit. Nearly six in 10 said their household finances worsened.
(Excerpt) Read more at twincities.com ...
Their employers may have other ideas about when the boomers leave the workforce however.
That’s me, when I die they’ll say I’m retired
Catch 22--the employers have to be worried about age-related discrimination trumping work performance issues.
Freepers. What is a “safe” or, at least, relatively safe, 401K savings for retirement for one person at age 61? Is $400,000 enough?
If the Death Panels can cut the life expectancy enough, and add in the work til 70 plan, suddenly Soc Security and Medicare look fiscally sound.
The unspoken plan.....
I don’t see a retirement.
The rule of thumb is that you can only take 4% out of a fixed pool of money. So 400k would give you $16000 a year to live on.
"CHANGE"
I am almost 60 and work with several other older people and we all hold our own. Of course, in a couple of more years, who’s to say?
And one which will not be repealed or replaced, because it is the solution. There will be quiet exceptions for true specialists and the connected. Hospice for others.
The kids I have been working with aren't worth a fart in a wind storm......
Let the boomers stay on.
Bingo. Does anyone think most employers will keep older employees around when they can pay younger ones more cheaply and benefit costs also decreasing? Seriously, as much as the older work force is loyal, hardworking, and committed, when it comes to the bottom line, I’ve seen enough MBA’ers work the bottom line and the easiest way is to cut the older work force. Then what? If you’re in your mid-late 50’s you’re screwed, you’re not high on the list of desirables and waiting ten years to try and get the maximum on your SS so as to help round out your 401-k savings (pension? What pension?) Unless you’re union, most corporate pensions went out the window 25 years ago.) Yup, it’s going to be a bumpy ride, and no matter how much you may have saved, it may not have been enough depending on whether SS, Medicare, etc. are truly reformed or they go over the cliff. Interesting and scary times.
5 or 6 years ago, I could look forward to retiring at 62. Now, it may still be possible, but much less comfortable. Also, I’m in good health, so I will probably wait to 65.
Too many variables here to answer you honestly. For example, if your retirment returns 4-5% a year, that gives you $16-20K BEFORE taxes as an income - this assumes you do not intend to touch the princple. If you do plan to attack the principle - then you need to compute your estimated age before you suddenly die catestrophically (as in no medical bills). Do you expect to drive anywhere, or expect to continue to use electricity? Obama has removed food and energy costs from the equations used to calculate inflation - and he has already stated that he plans on energy costs to "skyrocket". So, can your 'fixed' income tolerate utility costs that will likely be 400% higher than they are now, in ~10 yrs?
Next we have questions as to Social Security income, your living costs, your physical health and questions such as "Do you expect your children to be unemployed, and forced to live with you and help raise their children while they are unemployed?" I work with many 65+ workers, who raised their kids, paid their way through college - and now have the kids living in their basement while the kids fruitlessly try to compete in a recession for the limited jobs that are available.
I expect to die at my desk - I had $250K set aside for retirement 4 years ago, before I hit 50 - it's gone, and I was forced to short-sell my home; because the "stable" employer I worked for, lost everything. I was collateral damage - and it destroyed me.
I have two thumbs, how about 32,000 a year? Seriously, I can take whatever I want out of my 401K, correct-a-mundo?
too many factors unknown:
is your house paid for?
is your health good? what’s your family health history?
what’s your resident sales tax? property taxes?
ya know, i am going to put in for social security as soon as i can.
i will be 59 in a couple of months. i will work, or course, even if I can actually draw it. i deserve it, i have payed for it, and if it would have been put in stocks, the market i would have a lot more.
my dad was always afraid that he would never receive SS. he is 90 now, and is receiving it. but he knew it was a ponzi scheme.
ya think i am not going to collect the first minuet I can?
the government stole my money gave me a “trust” that they will take care of me when i retire. plus, I have paid into medicare all these years.
I don’t owe the feds, they owe me.
Now, they want me to work til i die. probably will have to. but I will curse the lying liberal basturds til the day i DIE!
Blessings, bobo
But the good news is the redistribution of wealth:)
Another case can be made that the exclusion of the federal and state and local apparatchiks from Social Security and granting them and the Congress special pensions and perks at taxpayers expense violates the equal protection clause of the 14th Amendment.
Of course good old White Horse Romney and the bankers and blue bloods over at the RNC and the demented communist scumbags at the DNC are all in agreement that DC and the apparatchiks come first.
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