The Numbers Behind Delayed Retirement
As baby boomers move into retirement, they are taking a hit from rising health care costs and two recent recessionary periods beginning in 2001 and 2008. Many are also in the “sandwich generation,” taking care of elderly parents and children. The answer for many people is delayed retirement.
Of affluent and pre-retiree (55 years or older) investors, only28% are highly confident that they can generate enough income in retirement to cover all of their expenses.
As a result, they're delaying retirement until age 68.
Health Costs
- 86% of baby boomers are very concerned about the affordability of their health care in retirement, but only 1 in 5 has begun to take financial action to prepare for it.
- Nearly 62% of baby boomers report initiating a diet or exercise program to reduce future health care costs.
Family
- 48% of adults ages 40 to 59 have provided some financial support to at least one grown child in the past year.
- 27% say they provide primary support to at least one adult child.
- 15% are providing financial support to both a parent 65 or older and a child.
