In Less Than 10 Years, America Will Have 17 'Superaged' States

The U.S. Census Bureau predicts that by 2026, unprecedented aging demographics will push 17 U.S. states into a "superaged" category, reports Route Fifty . Fitch Ratings states that societal aging in the United States "is expected to accelerate over the next 20 years as population growth slows and the baby boomer generation reaches retirement age. While there will be marked variation between states, general demographic trends point to more aging and slower working-age population growth in almost every state." The United Nations describes superaged as a population where 20 percent is older than 65 and the number of working-age people is shrinking. "Smaller states such as Maine, Vermont, New Hampshire, and West Virginia are forecast by the Census Bureau to have the highest percentage of population aged over 65 by 2026," Fitch notes. "They are also likely to continue to be among the states with the largest working age population decline." Fitch also forecasts that "aging demographics and slowing or declining working-age populations will constrain GDP growth. As state budgets largely rely on income and sales taxes, slower economic growth will be clearly linked to slower revenue growth. Concurrently, state expenditures will face greater pressures from higher healthcare and retirement cost demands."