Gen X is due to retire but can’t afford to. Take a look…
GEN X: DUE TO RETIRE BUT CAN’T AFFORD TO
September 4 (King World News) – Gerald Celente: The oldest of the 65-million-member Generation X—born from 1965 to 1980—will turn 60 next year, putting them within sight of retirement age.
However, many will be unable to stop working.
In 2022, the median household net worth of Gen X’ers ages 45 to 54 was $250,000. That is about 7 percent less than the median for Baby Boomers in 2007, adjusted for inflation, according to data from the U.S. Federal Reserve.
Gen X has been called “the forgotten generation,” coming between the much larger Baby Boom and Millennial cohorts. It also has been referred to as “the latchkey generation,” coming home from school to an empty house because parents were working.
Goldman Sachs has dubbed Gen X “the 401(k) experiment generation.”…
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“Gen X is the first generation where they were mostly expected to figure out their retirement on their own,” economist Jeremy Horpedahl at the University of Central Arkansas told The Wall Street Journal.
The 401(k) was never expected to become Gen X’ers’ primary retirement savings vehicle. It is named for a provision in the tax code that was intended to allow executives to defer compensation paid as bonuses or stock options.
Companies saw it as a way to encourage employees to save for retirement.
By the mid-1980s, the number of workers taking part in “defined contribution” pension plans such as 401(k)s outstripped the number enrolled in traditional “defined benefit” plans. Now the latter has almost disappeared.
At the same time, Gen X has been dealing with student debt. It lived through the Great Recession, which ended careers and wiped out savings. Now the COVID War and inflation have taken a further toll.
Many Gen X parents also have their children living with them.
Partly due to those and similar factors, in 2023, Gen X’ers ages 45 to 54 had a median balance of about $60,000 in defined contribution plans with mutual fund giant Vanguard, the company reported.
That is small compared to financial advisors’ customary recommendation that workers have six times their annual salary saved for retirement by age 50.
“I fully expect to work until I die,” one Gen X’er told the WSJ. “It is what it is.”
TREND FORECAST:
From a recent Oxfam study to the latest edition of the Boston Consulting Group’s Annual Wealth Report, the data is consistent: the world’s middle class is being thinned out.
As we have reported, while most people cannot afford to buy a home, rents have climbed more than 10 percent. According to U.S. Labor Department data, electricity bills are up more than 10 percent and car insurance premiums have spiked more than 40 percent while vehicle insurance and repair costs are up nearly 20 percent.
The Bigs can afford to pay lobbyists and rent politicians who are willing to protect their wealth at the expense of those who earn less. That ability to buy influence creates a barrier that prevents low- and middle-income earners from being seen in the corridors of power.
As we have long noted and reported, with the Bigs controlling the world’s governments, the rich keep getting richer as we the people of Slavelandia keep getting poorer.
While both presidential candidates Donald Trump and Kamala Harris have promised to reduce the cost of living, their proposals show how powerless they are to bring down the cost of living any meaningful way.
Gold & Silver
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