Boomers are losing their expected inheritance to their parents’ longevity, according to an analysis in the Wall Street Journal. Matures who have reached their late 60s have as much as a 50-50 chance of living well into their 80s and many into their 90s. Thanks to medical and longevity gains, 85-and-over is the fastest growing age group in the nation. But thanks to that longevity, the Boomers expected inheritance is shrinking as long-lived retirees use their resources to support themselves. It’s long been estimated that over $40 trillion in inheritance would change hands in the first half of this century…. Read More
Categories: Baby Boomers, Matures, WorkAs the Baby Boomers near their golden years, Hollywood is right there with them. A spate of movies aimed at older demographics and featuring stars in their 50s and 60s reflects the fact that Boomers are proving to be the most reliable movie-going generation. In many ways, Boomers are the “movie generation” having grown up in an era when cinema was the premier form of entertainment. Now, nearing or in retirement, Boomers have more time and money than younger generations and still have a fondness for movies. According to the MPAA, moving going has declined among every demographic except older… Read More
Categories: Baby Boomers, Blog, WorkMillennials and Generation X will have to save much more for retirement than their parents’ generations, according to recent surveys of investment advisors. In a 2010 Scottrade survey, most (77%) advisors set the “number” at $2 million or more for Millennials. More recent surveys have set slightly lower targets for these generations, but the goals are still substantially higher than they were for Baby Boomers. Both generations will have to wait until at least age 67 to receive full Social Security, since they were born after 1960. By mid-century, 70 is likely to be the typical retirement age. In more… Read More
Categories: WorkJust when Generation X is reaching its peak career and earning years, they are finding that the Baby Boomers won’t get out of their way. Many Boomers are delaying retirement due to the recession or simply because they prefer to work. In fact, the participation rate in the labor force among those over 55 is as high as it’s ever been. Xers, contrary to their reputation as slackers, are highly educated, career-oriented, and ambitious, but their path to the top is not clear. In a recent survey, 40% of them say they are not satisfied with their career progress and… Read More
Categories: Baby Boomers, WorkMillennials were first known as the “Echo Boom” because they were an echo of the Baby Boomers. As Boomers reached child-bearing age, their fertility rates (births per woman) were not particularly high, but the sheer size of the Boomer generation ensured that their offspring, the Millennials, would echo the population boom of their parents. Now that Millennials are reaching child-bearing age, fertility rates are shrinking even further. A recent Advertising Age analysis of census data shows that birthrates for women in their 20s declined more in the last two years than any time in the last three decades. In fact, the only… Read More
Categories: Baby Boomers, Training Industry, WomenAs the leading edge of the Millennial generation dips its toes into investing, they are more leery of the stock market than previous generations. A survey conducted by MFS Investments finds that Millennials are just as likely to keep their investment dollars in cash instruments, like savings accounts and money market funds, as they are to invest in stocks – a more conservative approach than older generations and a more cautious allocation than is normally recommended for young investors. Millennial fears about the stock market stem from the 2008 crash and recession as well as the fact that the market… Read More
Categories: WorkAs Baby Boomers retire and turn to their portfolios to support themselves, the returns on those investments are likely to diminish, Robert Arnott of Research Affiliates, LLC tells the Wall Street Journal. The large number of Boomers retiring at once will glut the market with the stocks and bonds they are trying to sell, reducing value. Meanwhile, the working population will have fewer resources to buy them and less interest in doing so than previous generations. The result: anemic returns. To make matters worse, the high proportion of retired population (once Boomers retire) to working population will increase the cost… Read More
Categories: Baby Boomers, WorkWells Fargo’s 7th annual retirement survey, released this month, shows that an increasing number of Americans are planning to work beyond the traditional retirement age of 65. Three quarters of those surveyed, across all age groups, said they expected to continue to work past 65. Half of those expect to work out of necessity. 25% said they expected to retire at 80. Baby Boomers are the most likely to feel compelled to work. Over half of Boomers expect to keep working into retirement because they have to. Another quarter expects to work past 65 because they want to. In contrast,… Read More
Categories: Baby Boomers, WorkMany Baby Boomers, even wealthy ones, have no intention of leaving an inheritance. Instead, they plan to use their fortunes on themselves. A new study by U.S. Trust shows that less than half of wealthy Boomers surveyed plan to leave an inheritance. About the same number have not even told their children what they are worth. This marks a sharp departure from attitudes among previous generations and comes as a shock to the financial planning industry. The results left the president of U.S. Trust sounding a little like a Millennial: “We were, like, ‘wow,’” said Keith Banks. Some Boomers surveyed… Read More
Categories: Baby Boomers, Work