At 61 She Lives in Basement While 87-Year-Old Dad Travels – Bloomberg 12-17-13

Salient to Investors:

The median net worth for US households headed by boomers aged 55 to 64 was almost 8 percent lower, at $143,964, than those 75 and older in 2011. Boomers lost more than other groups in the stock market and housing bust of 2008, and many also lost their jobs in the aftermath at a critical point in their productive years.

An AARP Public Policy Institute survey found that over half of those aged 50 to 64 expect their standard of living in retirement will be worse than their parents.

Alicia Munnell at BostonCollege said baby boomers are the first generation without the safety net of pensions and other benefits their parents have, and face a much more challenging old age.

Boston College said the median 401(k) balance for households headed by baby boomers is $120,000.

37% of the elderly and less than 10 percent of boomers in the US collect pensions and that number is quickly shrinking.

Fidelity Investments said hospital, doctor and medicine expenses for a 65-year-old couple retiring this year are expected to be $220,000 over the course of their lives, as company-paid retiree health benefits disappear and the cost of Medicare rises.  

Read the full article at http://www.bloomberg.com/news/2013-12-18/at-61-she-lives-in-basement-while-87-year-old-dad-travels.html

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The median net worth for US households headed by boomers aged 55 to 64 was almost 8 percent lower, at $143,964, than those 75 and older in 2011. Boomers lost more than other groups in the stock market and housing bust of 2008, and many also lost their jobs in the aftermath at a critical point in their productive years.

An AARP Public Policy Institute survey found that over half of those aged 50 to 64 expect their standard of living in retirement will be worse than their parents.

Alicia Munnell at BostonCollege said baby boomers are the first generation without the safety net of pensions and other benefits their parents have, and face a much more challenging old age.

BostonCollege said the median 401(k) balance for households headed by baby boomers is $120,000.

37% of the elderly and less than 10 percent of boomers in the US collect pensions and that number is quickly shrinking.

Fidelity Investments said hospital, doctor and medicine expenses for a 65-year-old couple retiring this year are expected to be $220,000 over the course of their lives, as company-paid retiree health benefits disappear and the cost of Medicare rises.