It probably comes as no surprise but different generations have different perspectives about retirement planning. What about you? How does your age impact your plan decisions?
HOW ARE THE AGE GENERATIONS DEFINED?
- Millennials (Gen Y): Born 1980 to 1994
- Gen X (Baby Bust): Born 1965 to 1979
- Baby Boomers: Born 1946 to 1964
- Matures (Silent Generation): Born 1925 to 1945
HOW DO THE DIFFERENT GENERATIONS VIEW RETIREMENT PLANNING?
- Many have a pension income that rewarded 30-40 years of service.
- More are seeking a phased-in retirement.
- Want to be debt free.
- Gen X.
- Most serious about budgeting.
- Sandwiched between children and parents.
- Born into a 401(k) generation.
- Super savers: want to save and invest.
- They start 401(k) earlier than Gen X!
- Tech savvy.
WHAT IS YOUR BIGGEST CONCERN FOR RETIREMENT PLANNING?
Well, it is not really stock market crashes. My big concern for all: medical and long-term care expenses during retirement. We are living longer.
BOTTOM LINE ADVICE FOR PLANNING RETIREMENT?
- Have confidence: retirement is possible but may require some trade-offs and sacrifices to become financially independent of work.
- Be disciplined: save and invest regularly. Embrace the stock market for long-term wealth creation.
- Avoid regret: Don’t delay. Don’t panic.