Drummond Financial Solutions

(330) 877-2923

Retirement Read Time: 3 min

9 Facts About Retirement

Retirement can have many meanings. For some, it will be a time to travel and spend time with family members. For others, it will be a time to start a new business or begin a charitable endeavor. Regardless of what approach you intend to take, here are nine things about retirement that might surprise you.

  1. Many consider the standard retirement age to be 65. One of the key influencers in arriving at that age was Germany, which initially set its retirement age at 70 and then lowered it to age 65.1

  2. Every day between now and the end of the next decade, another 10,000 baby boomers are expected to turn 65. That's roughly one person every eight seconds.2

  3. The 65-and-older population is one of the fastest growing demographics in the United States. In 2019, there were 54.1 million Americans aged 65 and older. That number is expected to increase to 80.8 million by 2040.3

  4. Ernest Ackerman was the first person to receive a Social Security benefit. In March 1937, the Cleveland streetcar motorman received a one-time, lump-sum payment of 17¢. Ackerman worked one day under Social Security. He earned $5 for the day and paid a nickel in payroll taxes. His lump-sum payout was equal to 3.5% of his wages.4

  5. Seventy-seven percent of retirees say they are confident about having enough money to live comfortably throughout their retirement years.5

  6. The monthly median cost of an assisted living facility is $4,500, and seven out of ten people will require extended care in their lifetime.2

  7. Sixty-four percent of retirees depend on Social Security as a major source of their income. The average monthly Social Security retirement benefit at the beginning of 2022 was $1,614.5,6

  8. Centenarians – in 2020 there were 92,000 of them. By 2060, this number is expected to increase to 589,000.7

  9. Seniors age 65 and over spend over four hours a day, on average, watching TV.8

Conclusion

Nest with egg

These stats and trends point to one conclusion: The 65-and-older age group is expected to become larger and more influential in the future. Have you made arrangements for health care? Are you comfortable with your investment decisions? If you are unsure about your decisions, maybe it's time to develop a solid strategy for the future.

1. SSA.gov, 2022
2. Genworth.com, 2022
3. ACL.gov, May 4, 2022
4. Social Security Administration, 2022
5. Employee Benefit Research Institute, 2022
6. SSA.gov, 2022
7. Statista.com, August 3, 2022
8. BLS.gov, 2022

The content is developed from sources believed to be providing accurate information. The information in this material is not intended as tax or legal advice. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. This material was developed and produced by FMG Suite to provide information on a topic that may be of interest. FMG, LLC, is not affiliated with the named broker-dealer, state- or SEC-registered investment advisory firm. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security. Copyright FMG Suite.

 

Related Content

Saving for College

Saving for College

This calculator can help you estimate how much you should be saving for college.

Please Leave Home Without It

Please Leave Home Without It

Concerns over identity theft continue to grow, especially with data breaches at major companies and financial institutions.

Perception vs. Reality

Perception vs. Reality

There’s an alarming difference between perception and reality for current and future retirees.

 

Have A Question About This Topic?







Thank you! Oops!

Does Your Portfolio Fit Your Retirement Lifestyle?

Lifestyle considerations in creating your retirement portfolio.

A Meal for All Generations

When it comes to generational differences, knowing the facts can be difficult.

Traditional vs. Roth IRA

One or the other? Perhaps both traditional and Roth IRAs can play a part in your retirement plans.

View all articles

Potential Income from an IRA

Estimate your monthly and annual income from various IRA types.

Saving for College

This calculator can help you estimate how much you should be saving for college.

Should I Pay Off Debt or Invest?

This calculator will help determine whether you should invest funds or pay down debt.

View all calculators

Protecting Those Who Matter Most

The importance of life insurance, how it works, and how much coverage you need.

5 Smart Investing Strategies

There are some smart strategies that may help you pursue your investment objectives

Your Cash Flow Statement

A presentation about managing money: using it, saving it, and even getting credit.

View all presentations

Global and International Funds

Investors seeking world investments can choose between global and international funds. What's the difference?

The Power of Compound Interest

Learn how to harness the power of compound interest for your investments.

Should I Invest in Gold?

Learning more about gold and its history may help you decide whether it has a place in your portfolio.

View all videos