Retirees Feel Economic Crunch More Than Most

I do a lot of consulting work with those who are considered a part of the baby boomer generation. We are living longer and we have work and money options available to us that were unheard of when our parents and grandparents were planning for their "golden years." However, as some of the first baby boomers begin to consider retirement, the current financial crisis has many worried that their well-laid plans will be ruined. You should not be surprised to learn that retirees have been hit particularly hard our country's recent economic problems, and The New York Times featured these real concerns on today's front page.

Quite a few senior citizens rely largely on dividends from stock investments to pay for their daily living. These men and women do not have time for the markets to rebound and they are having to sell stocks at a loss just to pay for expenses or, at the very least, they are scaling back their future plans. As Alicia H. Munnell, director of the Center for Retirement Research at Boston College, said, “If you’re 45 and the market goes down, it bothers you, but it comes back. But if you’re retired or about to retire, you might have to sell your assets before they have a chance to recover."

It is not only those with stocks who are feeling the strain. Property taxes are going up as local communities try to compensate for reduced funding from the state and federal government. People who have paid for their home and lived there for decades are now struggling with the expense of living there.

Gas prices are affecting retirees beyond just the lack of freedom to travel as often as they would like. Increased costs for fuel are raising food prices as well as the availability of volunteer programs such as Meals on Wheels. To seniors on a fixed income, these changes are significant and nerve-wrecking.

Did you know that you can achieve financial happiness even in these difficult times? I've worked with thousands of individuals, and I would love the opportunity to help you navigate through the current challenges. Please visit my website and let me know how I can help you!