Baby Boomers Unprepared and 'Unretiring'

A new study from the Insured Retirement Institute (IRI) estimated that 42 percent of baby boomers have no retirement savings, while 38 percent of boomers who do have savings have less than $100,000 saved, reports the National Conference of State Legislatures . Moreover, only 25 percent believe they will have enough money in retirement, and although 25 percent plan to retire before age 65, 29 percent expect to work beyond age 70. Meanwhile, a 2017 RAND survey found nearly 40 percent of employees older than 65 had previously retired at some point. Unanticipated healthcare costs and other financial difficulties are major contributors to this trend, but social and intellectual engagement as well as a general sense of satisfaction in a job well done also are incentivizing continued employment. The Social Security Administration estimated that 50 percent of retired households depend on Social Security for half of their total income, and poorer retirees often lack pensions or large 401(k)s and are most reliant on Social Security. Two in three poor- and low-income older Americans receive 90 percent of their money from Social Security. If retirees have little or no savings, or outlive the savings they do have, policymakers need to consider the impact on government programs.