Meeting boomers retirement expectations
The McKinsey Quarterly Chart Focus Newsletter
Meeting boomers’ retirement expectations
As US baby boomers retire, a generation that lived through unprecedented prosperityand has correspondingly high hopes for its golden yearsmust cope with significant financial, physical, and social challenges. By 2015, the United States will have more than 45 million households with people from 51 to 70 years old, compared with about 25 million for the silent generation, born from 1925 to 1945. Their real disposable income and consumption will be roughly 40 percent higher, and they will control nearly 60 percent of US net wealth. Please look at chart!!
Nonetheless, reality may fall short of their expectations. McKinsey research reveals that 60 percent of the boomers wont be able to maintain a lifestyle close to their current one without continuing to work. The same percentage of older boomers already suffers from chronic health problems. Not surprisingly, 43 percent already are frustrated that they arent leading the lives they expected. To learn more about the future of retirement, read Serving aging baby boomers (November 2007).
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