Baby Boomers in Trouble with Retirement Plans

Baby boomers are people born between 1946 and 1964. These are the children of the "Greatest Generation" who went through the Great Depression. Are they going to be ready for retirement as their parents were when they turned 65? Some Baby Boomers are actually retiring early at age 55. However, most of the Boomers unfortunately, will not be prepared because of the habit of spending their money as fast as they can earn it. In addition to that, many have accumulated such high debt because of wanting things "now" and charging for their purchases, unlike their parents who understood what it meant to wait till you can afford it.

Their parents knew how to save. It was because they suffered through great hardships. Typically, when you go through these type of hardships, you swear you won't let it happen again. And because of the sufferings their parents went through during the Great Depression, some wanted to provide their offsprings many things they didn't have or they just did not want them to go through the hardships they had to face. So now, many Baby Boomers will face the likelihood of having to work longer perhaps even into their 80s to support themselves because they just didn't prepare for retirement. Baby Boomers didn't have the discipline their parents had. It takes sacrifice and discipline to plan out a nice retirement.

Anyone who retires at age 65, must figure they need at least 25 yrs of earnings support, especially when people are living longer these days. With inflation is creeping up and given one's lifestyle and investments, Baby Boomers need to have about two million in the bank to fulfill this.

According by a recent survey from Merrill Lynch, nearly 80% of Baby Boomers intend to keep working beyond age 65.