An Aging Population

The retirement revolution is being fueled by a convergence of unprecedented social and economic forces.

  • A large generation of people is on the verge of retirement.
  • People are living longer.
  • Retirement is lasting longer.

 

Schwab's Rethinking Retirement Survey polled representatives of Generation Y (ages 13-31), Generation X (ages 32-43), Baby Boomers (ages 44-62) and the Silent Generation (ages 63-83). Here's what we heard:

 

People believe old age has been delayed to 75 or later. Yet, most Americans surveyed still think people should start receiving Social Security benefits at age 63.
Total Gen Y Gen X Baby Boomers Silent Generation
Q: When do you believe people reach "old age"? 75 69 74 77 80
Q: When should people begin receiving Social Security benefits? 63 61 63 64 65
Those surveyed think old age benefits should start 12 years before they become "old." 12 yrs 8 yrs 11 yrs 13 yrs 15 yrs

 

The massive size of the Baby Boomer generation is the major problem ahead for our retirement system, according to Americans surveyed.
Q: Why do you think the Baby Boomer generation might cause problems with the future of Social Security and Medicare? Total Gen Y Gen X Baby Boomers Silent Generation
Their large numbers 76% 76% 74% 77% 80%
They will live longer than previous generations of retirees 60% 50% 57% 63% 66%
They haven't saved enough 46% 43% 45% 49% 50%
Their self-centered attitudes 20% 16% 25% 18% 26%

 

In the midst of this social and economic change, family members are increasingly looking to each other for financial support.

 
Q: I worry that I might have to contribute to the finances of my parents.
Total Gen Y Gen X Boomers Silent
Strongly agree 10% 14% 8% 7% 3%
Somewhat agree 30% 40% 29% 21% 13%
Somewhat disagree 25% 24% 24% 29% 30%
Strongly disagree 35% 22% 38% 43% 54%
Q: I expect my children will help me out financially when I retire.
Total Gen Y Gen X Boomers Silent
Strongly agree 3% 2% 3% 2% 4%
Somewhat agree 15% 18% 22% 12% 10%
Somewhat disagree 26% 33% 27% 26% 24%
Strongly disagree 56% 47% 48% 60% 62%
 

Q: I worry that I might have to contribute to the finances of my siblings.
Total Gen Y Gen X Boomers Silent
Strongly agree 5% 7% 3% 3% 4%
Somewhat agree 22% 24% 23% 18% 16%
Somewhat disagree 27% 33% 29% 25% 21%
Strongly disagree 47% 36% 45% 54% 59%

Q: It's important to pass on a monetary inheritance to the next generation.
Total Gen Y Gen X Boomers Silent
Strongly agree 12% 13% 14% 11% 6%
Somewhat agree 39% 43% 38% 34% 36%
Somewhat disagree 29% 31% 28% 30% 32%
Strongly disagree 19% 13% 20% 24% 26%

 

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