Getting Millennials to Save for Retirement

Getting Millennials to Save for Retirement

Posted On December 18, 2012

Millennials are inclined to save retirement and a few incentives might help them get over their wariness about the risks. Those are the conclusions of a new Prudential Retirement study of what will get Millennials into retirement savings. According to the survey of Millennial employees, many of them (83%) are inclined to save for retirement by witnessing the shortfall of older generations approaching retirement age.  A similar number (81%) say retirement savings is a “must.” However, nearly half of those polled see the investments as “risky.” Moreover, many of those participating in retirement plans say they are “complicated” (63%) and… Read More

Categories: Financial Services, Work

Market May Survive Boomer Retirements

Posted On December 13, 2012

While there are many threats to the performance of equity markets, the onslaught of Baby Boomer retirements will not be one of them, according to financial analysts. While events like the “fiscal cliff” or downturns like the one in 2008 will continue to affect market performance, the fear that a mass of retiring Boomers pulling their money out of equities would crash the markets is unfounded. While large numbers of Baby Boomers have begun to reach retirement age, their retirements should have little impact on the value of equities. For one, those retirements will be spread over 25 to 30… Read More

Categories: Baby Boomers, Financial Services, Work

Millennials and Gen X Shunning IRAs

Posted On February 16, 2012

Typically, tax season brings a flurry of interest in IRAs as a tax sheltered way of socking away a few extra bucks for retirement. This year, though, well fewer than half of Millennial and Gen X investors will contribute to IRAs compared with over 70% last year. The sharp drop in interest in IRAs is attributable to economic insecurity. 32% said they were feeling too poor to contribute and 56% said they needed the money for everyday expenses or to pay down debt. 14% cited fears of market volatility and 12% blamed job uncertainty. “Given their economic fears, it is… Read More

Categories: Recession Economy, Work

Baby Boomers Employment Bust

Posted On January 3, 2012

Many of the oldest, or “Leading Edge” Baby Boomers are staying on the job longer because they like to work or they haven’t saved enough for retirement. But a good number of them simply wish they had that option. Older Boomers who have lost their jobs due to the recession are having a tough time getting back into the workforce, reports the Wall Street Journal. The unemployment rate among those ages 55-64 is about 6.5%. That’s below the national average but twice the rate for Boomers of just five years ago. More significant is the “underemployment” rate that also counts… Read More

Categories: Baby Boomers, Generations, Work

Boomers Going Back to School

Posted On January 12, 2012

Whether to retrain for a new career or to make the most of retirement, Baby Boomers are headed back to school, specifically local and community colleges, in large numbers. According to the American Association of Community Colleges, nearly 400,000 Boomers are enrolled in their member institutions nationwide. Those figures are up 6% from 2007 and 12% from 2005. To accommodate the onslaught of Boomers, a number of colleges have joined the Plus 50 Initiative. The initiative is a collection of programs designed to make campus life more user friendly for an aging population. The programs also aim to shorten the… Read More

Categories: Baby Boomers, Education

Millennials and Gen X Not Saving for Retirement

Posted On December 27, 2011

Despite the cautionary example of Baby Boomers who are barely scraping enough together to retire, Gen Xers and Millennials are falling behind in retirement savings, according to a report from Hewitt Associates. The report shows that younger generations are not setting aside enough for retirement even though, in surveys, they say they do not believe they can count on social security or pensions to sustain them in their golden years. The report shows that at least one third of eligible Gen X and Millennial employees elect not to participate in employer-sponsored retirement plans. Among younger Millennials, the non-participation rate is… Read More

Categories: Work

Boomer Brain Drain

Posted On April 17, 2012

The retirement, or pending retirement, of thousands of Baby Boomers a day (10,000 turn 65 each day for the next couple of decades) is leaving employers with some difficult holes to fill. While there might be plenty of applicants for new job openings, the experience and job skills that Boomers are taking with them into the sunset will be difficult to replace. According to the AARP, 72% of HR professionals surveyed report that they will have a problem replacing the skill, knowledge, and experience of Boomers retiring from their organizations. As a result, many are doing more cross-training of younger… Read More

Categories: Baby Boomers, Generations, Work, Workplace

Boomers Raiding Savings to Help Parents and Kids

Posted On May 11, 2012

The savings rate among Baby Boomers has dropped dramatically since the Recession began. Instead, Boomers are using their would-be retirement savings to help out family members from generations who are having an even tougher time. According to an Ameriprise survey, the share of Boomers saving for their own retirements has dropped from 44% to 24% since 2007. At the same time more than half of Boomers (58%) are providing financial assistance to aging parents. Almost all (93%) of them who have children are providing them with assistance including tuition and student loans (71%) and car buying (53%). Despite the fact… Read More

Categories: Baby Boomers, Recession Economy, Work

Millennials Gravitate to Age-Based Funds

Posted On August 21, 2012

Millennials are gradually awakening to the need to plan for retirement and the financial industry is gradually awakening to the importance of reaching out to Millennials. The generation and the industry may have found a meeting place in age-based and Roth funds, according to an analysis by Fidelity. According to the study, about two thirds of Millennials are choosing funds organized around age-based asset allocation. Among all participants, only about 45% choose that option. About half chose target-date funds compared with 30% among investors at large. Millennials also choose Roth savings options 50% more than other Generations. About 9% of… Read More

Categories: Blog, Financial Services, Work

More Working Past 65, Revising Retirement Expectations

Posted On May 29, 2012

More Americans than ever are working past the age of 65, according to Labor Department statistics cited by The New York Times. As longevity and health care improves, and as the economy remains tight, more Matures, along with the leading edge of the Baby Boomers, are deciding to stay on the job. Employment among every age group above 65, including those above 75, has risen steadily. The ranks of the 65+ in the workforce swelled noticeably in the last year as the first Boomers reached the traditional retirement-age milestone. “The fact of the matter is that this aging-but-not-yet-aged segment of… Read More

Categories: Baby Boomers, Matures, Work, Workplace
« Previous PageNext Page »