Saturday, January 27, 2007

Know the Boomers

Here's some census data:

78.2 million Boomers as of July 1, 2005

est. 8,000 Boomers turning 60 every single day! Do the math on that one, folks. The aging of American society continues. 56,000 a week. Est. 2.9 million people every year turning 60.

This is a quote about the cost of health care for the Baby Boomers from the Bureau of Labor Statistics:

"Average annual expenditures on health care in 2004 for people ages 45 to 54 ($2,695 ) — the age group that is the heart of the baby boom generation. When budgeting medical expenses, baby boomers should expect increased health-care spending as they age; for instance, those age 55 to 64 spent $3,262 and those 65 and over, $3,899."

One thing that we as Gen Xers will have to consider is how Medicare will help take care of many of these senior citizens, and if it can do it at all. I'm not that confident.

This statistic from the Social Security Administration is pretty alarming: "2.1 - The number of workers for each Social Security beneficiary in 2031, when all baby boomers will be over age 65. Currently, there are 3.3 workers for each Social Security beneficiary." Back when SS was first created in 1935, the worker to beneficiary ratio was something like 15 to 1, but don't quote me on that. I'm just recalling that number from memory. It was something similar to that. I don't know how much longer Gen Xers should stand for the mirage that Social Security will be there for us or the Millenials after us. It's unwise to plan to rely on it, I believe, if you're a Gen Xer (and I'm in the early part of the generation).

This is a whole brochure put together by a government agency called the Agency on Aging