Showing posts from December, 2010

Doomsday Retirement Scenarios

If you're older than 30 or ever attended a 401(k) educational seminar you've heard it. How we're not ready for retirement. How we haven't saved enough and how you need some astronomical amount of money you can't possibly save in order to afford retirement. While few people are saving enough, period, there are problems with the doomsday scenario. It is based upon an unrealistic retirement age established in 1935, manual labor, and the idea of employer pensions, now mostly a thing of the past. With no pension and a traditional retirement age, how do you possibly retire? Traditional retirement savings ideas are based upon the "three-legged stool" notion; your retirement is financed by your own personal savings, your private retirement benefits (pension or 401(k)), and Social Security. The doomsday Sayers project that without a pension your 401(k) and Social Security are all you'll have, and you'll be short. Well, if you perform manual labor and