PBS’s Frontline recently aired a piece entitled The Retirement Gamble. I don’t want to overstate, but it may be one of the more important hours of television anyone facing their financial future could watch.
The numbers on baby boomers and retirement are pretty staggering. Depending on the study, of approximately 70 million living baby boomers, half have less than $50,000 saved for retirement, many planning on Social Security serving as the cornerstone of their retirement income. The other half holds more than 90% of the worlds’ wealth, but the quality and cost of their future planning is often uncertain at best.
For those members of Generation X and Y, retirement is a far cry from the plug and play, pension based system of their parents and grandparents. 401(k) plans still rule the day, but exactly how they will work and whether they will continue to be the retirement vehicle of choice for companies in the future remains to be seen. I wrote about this issue for the Financial Planning Association back in March. You can find that post here.
The bottom line is all of us are accountable for our own finances and futures, but forced to rely at least in part, on an industry largely designed to think of profits first and clients second, or sometimes not at all. Some give into this system, some walk away and do nothing. Only a few look for a better alternative.
We’re fortunate to serve clients that have taken the steps to find what we believe to be that alternative. Our clients are either living the benefits of having a sound retirement plan in place or working their way to meeting that goal. For those of you where this is the case, I still encourage you to spend the time to watch this video. It is a good refresher as to why you have the plan you do and a good education on the traditional financial services industry today.
More importantly, I encourage you to forward this on to your friends, neighbors, children and grandchildren. Anyone who you think this could help gain a better understanding of the issues that may be facing them.
The video is embedded below in 5 parts. It’s certainly not a perfect piece. It has its flaws and biases and lacks in some ways, such as explaining that there are many, many good 401k plans out there.
I hope you enjoy and welcome any feedback you have. You can reach us by clicking on the “Contact Us” tab or social media buttons at the top of the page or any other method you wish.
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