More taxes, less Social Security: Gen X facing a leaner retirement than Boomers
A new report from the Urban Institute states Social Security’s financing problems could pose serious threats to retirement plans of Generation X (1966-1975) and Xennial (1976-1985) Americans. Those generations will retire with a higher incomes than the average retiree 40 years before, in part due to women making more money, the study noted. Despite the increased income, Gen Xers and Xennials may struggle more often to make ends meet. They’re more likely than Baby Boomers to lower their standard of living in retirement because of decreased earnings, according to the report, which projects that 30 percent of Gen Xers and 32 percent of Xennials will be unable to replace 75 percent of their annual working income. Both groups also can expect to pay more taxes in retirement. Read more of Andrew Sheeler’s synopsis of the report from The Sacramento bee here, or the full Urban Institute report can be viewed here.
The AMAC Foundation offers a free-to-the-public advisory service to all folks ageing into–or already in–Social Security. This service provides guidance in understanding the complexities of Social Security and the myriad rules and regulations associated with the process for claiming benefits, with NSSA-Certified Social Security Advisors available via email or telephone to discuss options. Learn more about this service via the Foundation’s website.