The oldest Boomer was born in 1946, just after World War II and is age 70 today. The youngest Boomer was born in 1964 and is age 52 today. There are 78,000,000 Boomers that make up 29 percent of the U.S. population. Those are the statistics, so what do they mean to you?
I have three older brothers. They were bigger, stronger and faster than me in every way. I looked up to them and tried to match what they did: swimming, tennis, basketball, etc. I did not realize for many years that they stretched me into being better than I would have ever been. The same can be true for you, too, if you will watch and learn from the Baby Boomer generation; you will learn both good and bad from their example. The way they have handled retirement savings, for instance, is not looking good. The average Boomer reaching age 65 today has less than $60,000 in total assets, according to the U. S. Census of 2010. This should be a sobering statistic to you, if you are younger than the Boomers, and a wake up call to do something different with your retirement than they have.
Another way you can learn from the “older” generation is what to do and not do with healthcare. Out-of-pocket costs for anyone reaching age 65, until death, are predicted to be $200,000 per person or $364,000 per couple. How can anyone with a paltry $60,000 in total assets pay for these costs? The answer is they can’t and that’s where it’s getting really messy for the Baby Boomers. Let me be clear about this figure as it hovers around the quarter-of-a-million-dollar range! Good grief! This is a shocking statistic that you need to take seriously, now, while you still have a chance. Now is the time to look into getting long-term care insurance or setting up a health savings account or exploring other options. I urge you to contact me for options: firstname.lastname@example.org.
And here’s another thing to think about in terms of how Baby Boomers will affect the housing market, potentially to your benefit. As the first wave of Boomers begin to die in the next few years, more and more houses will be coming on the market with fewer people to purchase them, causing prices to go down. Author Harry Dent has said about the aging of America that when when people die, they certainly don’t buy anything ever again. Or said succinctly, dyers are not buyers. Get prepared now to take advantage of options that will come available to those who have the financial capital to act on those options due to the coming changes in the economy due to the changing demographics of the Boomer generation.