Baby Boomers Retirement

Over the next ten years, the baby boomers—the massive generation born from 1946 to 1965—will begin to focus their attention on retirement.

Unlike their parents, many baby boomers believe they will not be able to depend on Social Security benefits during their retirement years, and many of them may not have employer-funded pension plans. In today's businesses, employees assume full responsibility for funding their own retirement through defined contribution plans such as 401(k)s.

To determine whether their current savings and assets will be enough to fund their retirement years, boomers can estimate and analyze the following:

• Potential income sources (annuities, income-producing real estate, inheritances, etc.)
• Costs of future health care needs
• Annual return from savings
• Projected balances of retirement plans
• Annualized rate of inflation over retirement years
• Amount of Social Security income to be received
• Percentage of present income required during retirement years
• Length of time retirement may last, or life expectancy

Anyone facing the retirement planning process should have an organized, well-ordered savings program in place. Dedication and discipline will help you work toward securing your financial future.