The Boomer Retirement Tsunami Will Be Devastating To Younger Americans

Last week I wrote a post in which I offered my condolences to Americans under sixty years of age. I was referring to the mess my generation (The Elders) and the Babby Boomer generation (Soon To Be Elders) have left to the younger generations. Actually the cut off is closer to 53 than 60; but 60 was a nice round number. Now I have some more detailed information to share with you younger folks so you will know just how thoroughly screwed you are. I found this wonderfully informative guest post at Zero Hedge that lists twenty facts about the demographic shock wave that is heading your way as the Baby Boomers begin retiring at the rate of around 10,000 per day.

So, if you are in that younger demographic, I strongly suggest that you read the Zero Hedge article so you will know what is coming and maybe you can prepare yourselves psychologically for what the rest of your lives will be like. For now, I will share with you a few of those facts and then I’ll add my two cents worth.

1. Right now, there are somewhere around 40 million senior citizens in the United States.  By 2050 that number is projected to skyrocket to 89 million.

Please keep that 89 million number in mind. I’l come back to it in a moment.

2. According to the Employee Benefit Research Institute, 46 percent of all American workers have less than $10,000 saved for retirement, and 29 percent of all American workers have less than $1,000 saved for retirement.

6. A study conducted by Boston College’s Center for Retirement Research found that American workers are $6.6 trillion short of what they need to retire comfortably.

13. Right now, the American people spend approximately 2.8 trillion dollars on health care, and it is being projected that due to our aging population health care spending will rise to an astounding 4.5 trillion dollars in 2019.

18. At this point, Medicare is facing unfunded liabilities of more than 38 trillion dollars over the next 75 years.  That comes to approximately $328,404 for every single household in the United States.

21. Overall, the Social Security system is facing a 134 trillion dollar shortfall over the next 75 years.

22. The U.S. government is facing a total of 222 trillion dollars in unfunded liabilities during the years ahead.  Social Security and Medicare make up the bulk of that.

So, younger Americans, how are you going to support your parents and grandparents in their retirement years? Where are you going to get the money to keep our Social Security benefits and Medicare and Medicade benefits coming? You can’t, you say? Think again, my young friends. What was that number I asked you to keep in mind? 89 million! Let that number sink into to your poorly educated mind some more. That is one hell of a big voting block, isn’t it?Do you really think they won’t vote to raise your taxes to keep their benefits coming? I suggest look up the voting records of the AARP. These 80+ million old folks will team up the 50+ million food stamp recipients and they are going to squeeze the last drop out of you. Count on it! We conservatives/libertarians won’t vote for those higher taxes; but we are a minority among our age demographic. You are screwed and you may as well get use to it. You will be the first generations of American who will not have a better standard of living than your parents. And, by the way, you are not without part of the blame. Since you became of age to vote, most of you have voted for progressives, haven’t you? So, don’t fret. Higher taxes and a lower standard of living is a fundamental part of the “progressive” plan. Agenda 21, sustainable living, and global warming/climate change policies are all about higher taxes and lower standards of living.

Our Founders gave the American people a constitutional republic. Unfortunately the people elected to support and defend that constitution have decided that the constitution is longer meaningful and is actually an impediment to progressive policies. So, welcome to democracy, Americans. You do understand what democracy is, right? Democracy is the system of government where 50%+1 part of the population can put the screws to the 50%-1 part of the population. I’m sorry about that. I really am.

Well, that’s what I’m thinking. What are your thoughts?

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13 thoughts on “The Boomer Retirement Tsunami Will Be Devastating To Younger Americans

  1. I’m a numbers guys…
    One of the numbers that jumped right out at me from Zero Hedge is the $134 trillion dollar Social Security shortfall. That one is well over $100 trillion more than I’m used to seeing.

    THAT is a big difference!!! 🙂

    The SS unfunded liability is periodically calculated by their actuary and found here:
    http://www.ssa.gov/oact/tr/2013/IV_B_LRest.html#267528

    The latest calculation to the “infinite horizon” is $23.1T as of Jan. 2014. It’s in Figure IV.B16. That is closer to what I’m used to seeing.

    I’m lazy. I usually go to the US Debt Clock and take their word for it. I figure they are close enough for government work. lol!!!

    The US Debt Clock current value for Social Security’s unfunded liability is just under $17 trillion.

    I think folks are getting total U.S. unfunded liabilities with Social Security alone.

    I also noticed that the listed Medicare unfunded liability is a lot less than it really is.

  2. That 89 million retiree number may not hold up. Once the death panels kick into high gear the “old geezer’ may become a thing of the past. Once again we see a silver lining if we take the time to look for it.

  3. On another note…
    Interesting observation on the voting attitude of the 89 million. I like it. Unfortunately, Congressmen control the purse strings. They’ll spend us all into oblivion long before the 89M get a chance to say anything. LOL!!!

  4. I have concern that we are playing on the invincibles’s unwillingness to purchase healthcare insurance to our detriment. Why are we pushing their so called unwillingness to kick into the healthcare kitty as unfair. In truth, they must buy car insurance and in that case, we older folks support them to some degree. Same with fire insurance. Social security until it was raided was paid by us and our employers and if invested would have covered our expenses for most, I say let all buy health insurance on the open market as a must.

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