The first members of the baby boomer generation have already reached retirement age, and millions of them will get there over the coming decades. As more people grow older and the number of senior citizens balloons, many retiring boomers are unprepared for the reality of retired life. Here are some numbers that may prompt you to think about issues you might have put aside for too long.
Your income will decrease.
Retirement means a life of leisure and enjoyment, but it also means a time when you’re no longer pulling in the paycheck you used to. The median income for senior citizens in 2011 was about $27,000 for males and just over $15,000 for females. About 3.6 million seniors had incomes below the poverty limit in 2011, though median senior income did see a slight inflation-adjusted increase between 2010 and 2011.
You will use Medicare.
The vast majority of senior citizens were covered under Medicare in 2011. 93% of those age 65 and older have Medicare, while 86% of them also had supplementary health insurance for expenses not addressed by the program.
You might still have to work.
Many baby boomers haven’t saved enough for retirement, and more of them are continuing to work after the age of 65. The Bureau of Labor Statistics reports that a little less than 19% of people age 65 and older remained working in 2012. That number has increased over the years, and experts expect that number to continue rising.
- Living in a Digital World and the Importance of Planning for Cryptocurrency - January 5, 2022
- Don’t be a Turkey – Use Your Annual Per Donee Exclusion Amount - December 29, 2021
- Are You Too Young for Estate Planning? - December 28, 2021