As part of the first wave of baby boomers born during the "birthquake" between 1946 and 1964, you have created seismic shifts in American culture and the economy from day one. Your generation has pioneered "new"—television, rock 'n' roll, fast food, “flower power” and dual career families; and, you will soon experience a new kind of retirement—one that is more complex and challenging than your parent’s traditional "work, save, retire at 65." In fact, with today's longer life expectancy your retirement may last as long as your career! This new retirement should have you asking some critical questions:
- Will I have enough money to maintain my lifestyle throughout retirement?
- What will I use for retirement income?
- How do I transition to a fixed income?
- What investment strategy makes sense in retirement?
- Will I be able to afford adequate health care?
- What if my parents are no longer able to care for themselves?
- What if I become disabled?
- Should I take advantage of the option to buy back years-of-service?
- How can I best leverage the option of my Partial-Lump Sum Option (PLSO)?
The recent quarterly Allstate-National Journal Heartland Monitor Poll discovered some interesting trends among current baby boomers. Over two thirds of retirees rely on social security as their main source of income. In addition, only about half of retirees have a pension where as only about a third of near retirees will have one when they do finally retire. The amount of people with pensions is decreasing with each generation. Only 39% of near-retirees have a 401(k) as a major portion of their retirement portfolio. To learn more about the trends of baby boomers and saving for retirement, please visit the article under the links section (Boomer’s Push Back Retirement Six Years).
Creating & Managing Wealth has answers! NOW is the time to act. Get the information you need by contacting a Creating & Managing Wealth representative.
*Information gathered from http://www.financial-planning.com/news/baby-boomers-pushing-back-retirement-age-2676436-1.html?zkPrintable=true