Jeff Pabst, CRC
In the last couple of months I have come across a few articles from the retirement industry that I have found to be interesting.
The Closest to Retirement Are Not Prepared: Plansponsor.com
This article has some scary statistics about the baby boomers not being prepared for retirement. One of the statistics that I found to be the most bothersome was that one in four baby boomers have less than $5,000 saved for retirement. What is even more upsetting is that many of these people don’t have a pension they can count on. As a LAGERS member, you don’t have to save as much on your own because you have a protected benefit with LAGERS. However, you should still be saving for retirement alongside your pension and Social Security to ensure you can live the lifestyle you want during retirement. Certainly makes me thankful for the pension benefits available to you and I.
Dealing with Retirement’s Strange Sense of Humor: Forbes.com
This article is a really different approach to explaining some of the psychological aspects of retirement. As Jeff Kempker said earlier this month in his blog post, retirement planning is not just about the financial aspects. Of course, financial planning is a critical part of retirement; however, it should not be the only part of retirement planning. This article gives you some examples of the psychological hurdles that may occur for you in retirement.
As Pensions Fade, Retirees Will Need More Savings: Plansponsor.com
This somewhat echoes the first article I posted regarding retirement savings. However, it drives further to the increasing problem that many Americans are facing, not having a pension. “Eighty-one percent of today’s retirees receive some income from a pension plan…those not yet retired, only 24% have a defined benefit (DB) plan.” Since, these Americans do not have a pension provided by their employer, they will have to save close to an additional “$400,000 to make up for this income shortfall.” In the previous article it said that one in four baby boomers have less than $5,000 saved for retirement. That is an enormous gap of what is needed just to replace pension income and what people are actually saving. This shows you that the 401(k)-type retirement plans are not working.
Uber, Lyft Help Seniors Moonlight in Retirement: CNBC
Some retirees are making a little money on the side by driving for ride-hauling companies like Uber and Lyft. These companies are actively pursuing senior drivers. In fact, 23% of people who drive are older than 50. So, if you are looking for some part-time income in retirement, it looks like Uber and Lyft would love to have you.
Jeff Pabst, CRC Senior Communications Specialist