retirement trends

[Martha]

I have been wondering about what is going to happen with the baby boomers and retirement. Although several years old (from 2001), here is an interesting study by the Bureau of Labor Statistics on trends regarding retirement: http://www.doleta.gov/performance/gu...orts/d0285.pdf

Some points:

--Social Security is the primary source of income for 50% of those over 65.

--In 2000, 30% of the over 55 population worked and the BLS estimates this will rise to 37% by 2015.

--For males 55-64, 67% work and 17% of males over 65 work.

--For women 55 to 64, 52% work (up from 42% in the1980s) and 9% of women over 65 work.

--From 1989-1999 workers from age 55 to 74 saw earnings increase 11% but those workers from age 40 to 54 only saw a 2% gain.

--Older workers are less likely to lose their jobs (9% vs 11%), but they are less likely to go back to work after losing a job or if they go back to work, are more likely to have a pay cut.

--Flexible employment arrangements for older workers are not widespread in the private sector.

--17% of people age 55 to 64 have work limiting health problems, as compared to 9% for those 40 to 54 and 5% for those 30 to 39.


Martha

[farmerEd]

>>I have been wondering about what is going to happen with the baby boomers and retirement.

Me too...

I read a lot of articles, and pretty much they are all doom-and-gloom (present company excepted of course), but I have a hard time beleiving that it will all really end as bad as it seems like it might...i.e. big portions of the population beleiving they will have the same standard of living after retirement as before, but at the same time most of those people having well under $50K saved for retirement.

Guess it will all be interesting to watch...just hope I am watching it from a (yet to be purchased) retirement home on some deserted beach in a foreign country....

[Hyperborea]

Quote:

Guess it will all be interesting to watch...just hope I am watching it from a (yet to be purchased) retirement home on some deserted beach in a foreign country....

Hmmm, not sure that the beach will be deserted. It might not be filled up with US retirees but instead with middle class Indians and Chinese on vacation.

[MRGALT2U]

That 2001 BLS study is quite interesting. We are firmly in
the majority in one category. SS will be our primary source of income (by far), assuming DW doesn't decide to work forever

Yesterday we did a lot of shopping. I seem to notice a lot of older folks (my age or older) employed in retail
stores and fast food joints. Maybe it's just a function
of them being in my age group and the fact that I've been retired a while. OTOH, I am quit sure they are
not all there purely out of economic necessity.

JG

[Spanky]

Cool Stat!

If Social Security is the primary source of income for 50% of those over 65, what will happen if the program terminates?

I have no plan to depend on SS.

[MRGALT2U]

Re. "no plan to depend on SS", I guess that is one
advantage I have in surviving to the "autumn of my
years "

JG

[unclemick]

No plans to depend on SS - amusing! A popular view among the younger generation. I put it along side "never trust anyone over thirty" a popular view when I was young.

Given the tide of history - the rules will change when govt.'s need the money - taxes and govt.'s are a relativety safe long term bet. The rest - welllll?

[Jarhead*]

[quote]No plans to depend on SS - amusing! A popular view among the younger generation. *I put it along side "never trust anyone over thirty" a popular view when I was young.

My wife receives her first "welfare" check from Soc. Sec. in April. (She gets one half of my amount, as she was a stay-at-home homemaker all of our married life). Some 44 years now.
My wife's sister worked most of her married life, and on a visit recently, she referred to my wife's Soc. Sec. check as welfare. She was half-kidding, but wife didn't see the humor in it. (Glad she tested the waters, as I might have been stupid enough to say something like that in a teasing way to my wife. Her sister is gone, and I'm still here
This is one point that makes gay folks jaws tight.
Glad we had different plumbing

I'm 40ish and have no plans to rely on social security. I do not intend to be dependent on the government (or anyone else) for my well being. If the **** hits the fan and something really bad happens (like another depression) I may have to fall back onto a government program. I'm just not planning for it.

I find it very amusing that the ultra right-wing John Galt will be depending on the government for his finances. Especially after a successful career as a corporate executive and real estate investor.If I were a right-winger I'd be for canceling the program altogether. I think most of the congressional republicans are for doing away with SS. It's certainly consistent with their ideology.

[MJ]

Quote:

I find it very amusing that the ultra right-wing John Galt will be depending on the government for his finances. Especially after a successful career as a corporate executive and real estate investor.If I were a right-winger I'd be for canceling the program altogether. I think most of the congressional republicans are for doing away with SS. It's certainly consistent with their ideology.

I remember watching 60 minutes about 20 or more years ago discussing the subsidies the government gave large corporate dairy farms. The owners that were interviewed were arch Republicans who were embarrassed that they were taking advantage of these subsidies.

Quote:

I'm 40ish and have no plans to rely on social security. I do not intend to be dependent on the government (or anyone else) for my well being. If the **** hits the fan and something really bad happens (like another depression) I may have to fall back onto a government program. I'm just not planning for it.

Even though, I have a really nice nest egg for a single, my plans do somewhat rely on SS. I will be ERing soon and since I am 57 and I guess I can depend on SS either in 5 or 9 years.

MJ

[MRGALT2U]

Hello MJ! Re. John Galt relying on SS for most of his
retirement income; it's irony man.

JG

[Martha]

MJ, now I hear that rather than make big cuts in farm subsidies, to reduce the Department of Agriculture budget, the plan is to cut the foodstamp budget.

Martha

[Nords]

Quote:

I'm 40ish and have no plans to rely on social security. *I do not intend to be dependent on the government (or anyone else) for my well being.

If nothing else, you could cash the checks and donate them to charity. That's one way to make sure your govt money goes where you intend...

And as we've said before, I think John Galt is just trying to get his property back.

[MRGALT2U]

One of my best friends is a local farmer. He is pretty
far to the right politically and distrusts the government
almost as much as I do. He says he wishes there
were no farm subsidies, but he takes the money
(it's a lot). Anyway, we may wish things were
different, but we all have to live in the world as it exists,
not as we wish it to be. If there is money available,
it would be crazy to turn it down just to make a point.

JG

[Eagle43]

My pension option from Mega-Corp was built around social security. When I turn 62, pension drops significantly, but guess what, ss for DW and me, kicks in, thereby insuring a level stream of income. There were other options, but this one allowed me to get out before 65 with very little change in financial lifestyle from the one I had while working.

Is SS welfare? If you live long enough, probably so. But, I wonder what I'd have had I been able to invest all of the SS payroll tax into Index Funds. Anyway, like JG says, don't you make me take that money, cause I will.

[MJ]

Quote:

Hello MJ! Re. John Galt relying on SS for most of his retirement income; it's irony man. JG

Hey JG,
Bottom line, we are all trying to make do with what we got and what we can get.

MJ

[MJ]

Quote:

One of my best friends is a local farmer. He is pretty far to the right politically and distrusts the government almost as much as I do. He says he wishes there were no farm subsidies, but he takes the money (it's a lot). Anyway, we may wish things were different, but we all have to live in the world as it exists, not as we wish it to be. If there is money available, it would be crazy to turn it down just to make a point. JG

I guess the principals that one shouts don't really count when it effects one's pocketbook. So much for honesty. :-/

MJ

[Helen]

Quote:

If the SS tax didn't exist, my wife and I would likely be retired by now. *I have NO problem with reclaiming a portion of our contributions some day.

I agree ! I do not consider the money that I have put into SS is coming back to me as any kind of a charity.

To me, the only difference between my SS contributions and my 401K contributions is that I have more control over my 401K contributions. SS payments to retirees are not a Government handout.

-helen

[Hyperborea]

Quote:

And as we've said before, I think John Galt is just trying to get his property back.

Ah, so I imagine that wanting to remain true to his "principles" then that he is closely monitoring how much he receives so that as soon as he has got exactly what he paid in he will inform the SSA and tell them to stop sending him "other people's money"? *How honourable. *How unlikely to be true.

[MRGALT2U]

That ain't funny.

For the last time (promise).............I don't really care
who paid the money in. If the government is willing to
give it to me, I am happy to accept it. I would view
any such dollars as uncommonly good wherever they come from.

JG