Retirees Are Doing Better Than You Think

[Common Sense Party]

WASHINGTON (Reuters) - ..."On average, more-recent generations of households have higher levels of resources to draw on in retirement than previous generations," said the study by the Investment Company Institute, a trade group. "Other measures also indicate improvements in retiree well-being. For example, the poverty rate among people aged 65 or older has declined from nearly 30 percent in 1966 to 9 percent in 2011." ... {snip}


To be sure, the ICI findings are in the aggregate, so not every retiree will be on more solid financial footing than his or her forebears. But the study shows that the money Americans have earmarked for retirement -- topping $18.5 trillion in the second quarter -- is substantially higher than at eras in the past, even when defined benefit plans are included. That figure peaked at $18.9 trillion in the first quarter of 2012, and fell when stock prices fell in the middle of this year.... {snip}


Households led by people of all ages had more retirement assets than ever, the study found. The average amount of retirement assets per U.S. household was $153,100 on June 30 of this year. Adjusted for inflation that is 2.7 times higher than in 1985 and 5.6 times higher than in 1975, the study said... {snip}


The folks at the bottom of the earnings spectrum might be better off than expected, because Social Security will make up a higher percentage of their income, says Holden. She predicts that those who will face the biggest challenges funding their retirements are the same people most challenged at funding their earlier years. "Folks who were vulnerable while working (either by being underemployed, unemployed, working part-time or retiring early for health reasons) will tend to remain vulnerable in retirement," said Holden.

I have to admit, this is surprising news, especially since I'm in the retirement industry, and we don't often hear cheery, upbeat reports. Obviously, every individual situation is different, but it is refreshing to hear that some Americans aren't doing as lousy as we usually think.

Full story here: http://finance.yahoo.com/news/stern-advice-retirees-doing-better-133601134.html;_ylt=AkGr97H9AftnZxiKps6jIrqiuYdG;_ylu=X3oDMTRmNTJ0ODY3BG1pdANGUCBGb2N1cyBvbiBMaWZlbG9uZyBJbnZlc3RpbmcEcGtnAzI2MjcxYTkyLTA4NzAtM2E5Yi04NTMwLWFmY2U2MTU1ZTI4MwRwb3MDMgRzZWMDTWVkaWFTZWN0aW9uTGlzdAR2ZXIDYjRkMjFjYWMtM2VmMy0xMWUyLWJmZmEtODRhMTA1MTgxZWQ2;_ylg=X3oDMTFpNzk0NjhtBGludGwDdXMEbGFuZwNlbi11cwRwc3RhaWQDBHBzdGNhdANob21lBHB0A3NlY3Rpb25z;_ylv=3

[AnotherMcIntosh]

1. According to certain national studies,

"Nearly one-third of homeless adults in the U.S. today are over 50, compared to 11% in the 1990s, ..."

http://articles.nydailynews.com/2012-01-27/news/30672059_1_shelter-system-new-york-city-shelters-homeless-services

If it is true that "the poverty rate among people aged 65 or older has declined from nearly 30 percent in 1966 to 9 percent in 2011," it may be that the number of survivors of the homeless age 50 years and older is declining.



It's rough life being homeless.

At the Battle of the Little Big Horn, when fewer troopers were being killed near the end of the battle, it didn't mean that the Seventh Calvery was winning.

[Scuba]

2. Spin. Hardly reassuring to those who are being slammed by Republican policies.

[bluedave]

3. from a poor geezer

[Tuesday Afternoon]

4. the ones that are doing well are doing Really Well. The rest of them - not so much.

The divide grows wider exponentially each day.

[SheilaT]

5. Social Security is the main reason the

poverty rate among the elderly has declined so dramatically. And why very few elderly live with their grown children anymore.

All four of my grandparents were born in the third quarter of the 19th century. Paternal grandfather died in 1939. The other three all lived out the ends of their lives living with grown children. I don't believe paternal grandmother had any income of her own, as she would never have worked outside the home, and her husband probably was not covered by SS. The other grandparents had a very small pension and SS, absolutely not enough to live on independently, but enough to cover their costs if they lived with family.

In addition, SS does do COLA increases, and an awful lot of people still in the workforce have gotten few or no raises in years now.

Not that life is totally rosy for all seniors, but overall it is a heck of a lot better than it used to be.

[oysterbay]

6. Not so cheery for those at the bottom

Things are hardly cheery and upbeat for those of us at the bottom. I'm on track for a whopping $1,000 a month in Social Security, with nothing else to live on. Figure rent takes half of that and I'm down to $500 a month for utilities, healthcare, cat food, and everything else.