Alert
Close

We’re Giving Away $50,000! Enter Now. See Official Rules

Highlights

Open

 

Contests and
Sweeps

Free Fun!

AARP Games - Play Now!

PROGRAMS & resources

Best Employers for Workers Over 50

Check out the winners list and latest news about this AARP recognition program.

Employer Resource Center

Attract and retain top talent in a changing workforce.

Your Own Business

Information for business owners, entrepreneurs and the self-employed.

webinars

Learn From the Experts

Sign up now for an upcoming webinar or find materials from a past session. 

Most Popular
Articles

Viewed

Baby Boomers Report No Savings at All

With fewer pensions and more debt, they face retirement challenges their parents didn't

Stagnant wages, heavy debt

To some extent, boomers are more encumbered by debt because their wages remained relatively stagnant for years, says Christian Weller, a public policy professor at the University of Massachusetts at Boston and a senior fellow at the Center for American Progress, a research group in Washington.

Add to that their penchant to spend beyond their means while saving less than what's considered adequate for retirement, and a questionable outlook emerges.

Retirement planning

— Getty Images

Running out of money

When the "silent generation" began retiring more than 20 years ago, they were the last group to be widely covered by traditional pensions. Today just 10 percent of private companies provide employees with guaranteed lifelong income when they retire, according to the Bureau of Labor Statistics.

Consequently, 401(k) plans have become the main source of retirement income for workers of all ages. But because such plans are tied to the market, it's somewhat of a guess how well they'll perform.

If investors haven't saved enough, or their portfolios and housing values decline just as they hit retirement age, they may end up carrying more debt in retirement. Worse, they could run out of money in their later years.

"People are reacting to this by working longer. They're realizing that they can't retire as young as their parents did," says Richard Johnson, a senior fellow at the Washington-based Urban Institute.

"Since the early 1990s, men's labor participation rates have increased. More people are not retiring, or they're retiring later and it's driven by economics."

Health care costs a big worry

Many workers are staying on the job longer just to keep health insurance, especially as companies increasingly do away with retiree coverage to contain costs.

Topic Alerts

You can get weekly email alerts on the topics below. Just click “Follow.”

Manage Alerts

Processing

Please wait...

progress bar, please wait

Tell Us WhatYou Think

Please leave your comment below.

Advertisement

Jobs You Might Like

Discounts & Benefits

From companies that meet the high standards of service and quality set by AARP.

Member Benefits AT&T Wireless Cell Phone

Members save 10% on monthly usage charges on qualified AT&T wireless plans.

membership adt

Small business owners save 20% on new installation of any new ADT security system.

UPS Store membership discount aarp benefits

Members save 15% on eligible products/services and 5% on UPS shipping at The UPS Store®.

Member Benefits

Renew today! Members receive exclusive member benefits & affect social change.

Rewards for Good

Your Points Balance:

Learn More

Earn points for completing free online activities designed to enrich your life.

Find more ways to earn points

Redeem your points to save on merchandise, travel, and more.

Find more ways to redeem points

Advertisement

Advance your skills. Transform your career.

Explore your learning possibilities.