Study: Late Boomers, Gen-Xers Less Prepared For Retirement
WASHINGTON (CBSDC) – Late boomers and Generation=Xers might want to reconsider their retirement plans.
A new study from the Pew Charitable Trusts found that the youngest groups of people have less wealth than their older counterparts had at the same ages, especially Gen-Xers, which lost almost half of their wealth. In a four-year span, Gen-Xers lost 45 percent of their wealth, totaling an average of almost $33,000 per person.
The study, Retirement Security Across Generations: Are Americans Prepared for Their Golden Years?, concluded that early boomers, those people born between 1946 to 1955, could be the final group “on track to retire with enough savings to maintain their financial security through their golden years.”
“Late boomers and Generation-Xers lost significant amounts of wealth during the Great Recession, eroding their already low levels of assets,” said Erin Currier, director of Pew’s economic mobility project. “As policymakers focus on Americans’ retirement security, particular consideration should be paid to how younger generations of workers can make up for these losses and prepare for the future.”
Data supported the study’s projection that the youngest cohorts, such as Gen-Xers, will not have enough assets to secure a stable retirement.
Findings for the report were made from data from the Survey of Consumer Finances, collected by the Federal Reserve Board, and the Panel Study of Income Dynamics, conducted by the University of Michigan.