Author Topic: Most future retirees to be worse off than their parents (Read 5999 times)

MillCreek · « **on:** February 18, 2013, 04:39:42 PM »

http://seattletimes.com/html/nationworld/2020379797_retirementdeficitxml.html

An interesting article from the Washington Post on the retirement prospects of those of us in the workforce now. It makes me wonder how my wife and I, and our kids are going to do. And we are probably better off than most, with her pension from the school district when she retires, about 10 years from now, and my 401(k) which is nudging $ 500,000 and hers, which is about at $ 102,000 right now.

RevDisk · « **Reply #1 on:** February 18, 2013, 05:42:10 PM »

It's going to be interesting. Especially because the next few decades will probably be economically turbulent.

Fitz · « **Reply #2 on:** February 18, 2013, 05:46:17 PM »

Probably the only reason I'm still in the national guard

Gewehr98 · « **Reply #3 on:** February 18, 2013, 06:19:45 PM »

Since my wife's kids never left, they're my retirement plan?

RocketMan · « **Reply #4 on:** February 18, 2013, 06:48:49 PM »

Looking at how things are going, three layoffs, divorce, crappy returns on 401(k), poor decisions on my part, etc., probably no retirement for me. It is entirely my fault, my responsibility.
Of course, the likely upcoming period of extreme economic uncertainty will change that prognosis, but doubtfully for the good. We will see when it gets here.

Northwoods · « **Reply #5 on:** February 18, 2013, 07:19:13 PM »

Quote from: Gewehr98 on February 18, 2013, 06:19:45 PM

Since my wife's kids never left, they're my retirement plan?

Mexican insurance for me. I figure with 4 kids at least one should turn out well enough to take care of us in our old age.

Tallpine · « **Reply #6 on:** February 18, 2013, 08:02:20 PM »

Quote

her pension from the school district when she retires

Assuming the school district doesn't go broke and default.

Hutch · « **Reply #7 on:** February 18, 2013, 08:34:03 PM »

I fear that a million bucks ain't gonna go as far as it used to, and that right soon. No real hidden tripwires I can point to, just an awful feeling.

seeker_two · « **Reply #8 on:** February 18, 2013, 08:39:57 PM »

I don't expect there to be such a thing as "retirement" when I get older. It'll be just like a hundred years ago....you work until you can't & hope your family can care for you until you die....or just work until you die....

MillCreek · « **Reply #9 on:** February 18, 2013, 09:31:27 PM »

Quote from: Tallpine on February 18, 2013, 08:02:20 PM

Assuming the school district doesn't go broke and default.

Washington state runs the school pension system, not individual districts. And in a national audit, Washington ranks very high on the list of states that have adequately funded their state government pension obligations. I was pleasantly surprised to read that.

MillCreek · « **Reply #10 on:** February 18, 2013, 09:33:56 PM »

Quote from: Hutch on February 18, 2013, 08:34:03 PM

I fear that a million bucks ain't gonna go as far as it used to, and that right soon. No real hidden tripwires I can point to, just an awful feeling.

I can hardly wait for the next big markets and 401(k) dumps. I have lost hundreds of thousands of dollars in various market corrections over the years. The biggest sticky wicket when these occur in middle age is that you don't have very much time left working to recover from the correction. So I am not as blase about these corrections as I was in my 30's and 40's.

lee n. field · « **Reply #11 on:** February 18, 2013, 10:02:34 PM »

Quote from: MillCreek on February 18, 2013, 09:31:27 PM

Washington state runs the school pension system, not individual districts. And in a national audit, Washington ranks very high on the list of states that have adequately funded their state government pension obligations.

And Illinois, well, is not. (Pensions is a big issue right now.)

RoadKingLarry · « **Reply #12 on:** February 18, 2013, 10:30:00 PM »

I don't expect to be able to retire in the traditional sense. I've still got at least 15 more years in the work force for SS and company pension if this job holds and I'm not optimistic about that. I was a late starter with my 401K and right now it might last 2 years of normal expenses.
I'll have my house paid off at he end of next month (woot!) leaving me with no debt and only monthly/reoccurring bills which could be pared down pretty low if I had to.

HankB · « **Reply #13 on:** February 19, 2013, 06:08:12 AM »

Crowbar retirement.

When faced with the prospect of eviction from his long time home, a senior gets a crowbar, finds a politician, and smacks him upside the head with it. Hard.

He then gets to go to the geriatric wing of Federal prison, where he gets free medical care, bed, blanket, three squares a day, and a roof over his head. Not ideal but better than living in a cardboard box or under a bridge.

Fjolnirsson · « **Reply #14 on:** February 19, 2013, 08:06:01 AM »

Quote from: RocketMan on February 18, 2013, 06:48:49 PM

Looking at how things are going, three layoffs, divorce, crappy returns on 401(k), poor decisions on my part, etc., probably no retirement for me. It is entirely my fault, my responsibility.
Of course, the likely upcoming period of extreme economic uncertainty will change that prognosis, but doubtfully for the good. We will see when it gets here.

I don't even need to respond. Rocketman said it for me.

charby · « **Reply #15 on:** February 19, 2013, 08:38:01 AM »

What worries me is how flat my growth in my retirement investments has been for the past 10 years.

brimic · « **Reply #16 on:** February 19, 2013, 08:51:47 AM »

Nothing needs to be said about how dismal the stock market is going to look over the next 20 years or so as the Baby Boomer generation converts their holdings into cash to live off of.

Monkeyleg · « **Reply #17 on:** February 19, 2013, 10:59:07 AM »

I was on track to retire early, but then I had to liquidate my business in 2000 and use my retirement money to settle with creditors. I never recovered, no matter how hard I've tried. There isn't a day that goes by that I don't wish I'd just declared bankruptcy, kept my money and stiffed the creditors.

AZRedhawk44 · « **Reply #18 on:** February 19, 2013, 11:03:45 AM »

Quote from: brimic on February 19, 2013, 08:51:47 AM

Nothing needs to be said about how dismal the stock market is going to look over the next 20 years or so as the Baby Boomer generation converts their holdings into cash to live off of.

Ew... I never thought about that. Good point though.

Increased demand to sell (due to heavy retirement population attempting to live off investments) drives value of stocks downwards, though. Makes perfect sense.

Monkeyleg · « **Reply #19 on:** February 19, 2013, 11:18:14 AM »

I'd read articles years back warning about the effect that baby boomers leaving the stock markets might have. Hard to know if the younger generations will take up the slack. So many have been unemployed that investing may be delayed a few years.

Tallpine · « **Reply #20 on:** February 19, 2013, 11:22:42 AM »

Quote from: HankB on February 19, 2013, 06:08:12 AM

Crowbar retirement.

When faced with the prospect of eviction from his long time home, a senior gets a crowbar, finds a politician, and smacks him upside the head with it. Hard.

He then gets to go to the geriatric wing of Federal prison, where he gets free medical care, bed, blanket, three squares a day, and a roof over his head. Not ideal but better than living in a cardboard box or under a bridge.

I pretty much expect to die of lead poisoning

Frank Castle · « **Reply #21 on:** February 19, 2013, 11:25:24 AM »

I don't think i will make it to retirement age.

roo_ster · « **Reply #22 on:** February 19, 2013, 11:52:45 AM »

I have done all the "right" things, to include 401K as soon as available, even a well-funded defined-benefit pension at my company.

I still don't expect to be able to retire. The norm for humans has been work from maturity until death or disability and our last few decades has been but a short respite from that reality.

Boomhauer · « **Reply #23 on:** February 19, 2013, 11:56:02 AM »

Quote from: AZtoy on February 19, 2013, 11:25:24 AM

I don't think i will make it to retirement age.

Me neither. Im going to die of an idiot induced aneurism during a Red Curtain of Blood Moment

Fitz · « **Reply #24 on:** February 19, 2013, 12:18:07 PM »

I just hope i have enough to at least switch to a career that isn't so stressful, that I enjoy.

Like, for example, go be a fish and game cop somewhere patrolling a lake

Or teach.

I dunno.

News:

Author Topic: Most future retirees to be worse off than their parents (Read 5999 times)