Retirement planning may be too late for many baby boomers; Gen Xers (age 30-44) are burdened with debt; and Millenials (age 21-30) have low savings and participation rates. It seems like a day does not pass without some research from a retirement provider about the lack of retirement savings and concern on the part of most participants about the deficit. Even if this is true, which is likely, the source is often questionable — so it’s refreshing to read a report by a third-party expert like Financial Finesse.
Wells Fargo reported the bad news about Millenials’ savings and participation rates but, according to a Financial Finesse report, they are better off than Gen Xers, who have been hit with a bad housing market and a lost decade of investing while dealing with big mortgages and raising children – the proverbial “SITCOMS” (single income, two children, oppressive mortgage). With the market in a new normal, everyone is concerned, and rightly so, with most believing that Social Security may not be around when they retire and that DB plans are a lot like unicorns. Sounds like a receptive audience for plan advisors.
