It’s true that a fairly large percentage of Baby Boomers have a lower net worth than they’d prefer–many times, not because of bad financial decisions–but because they are supporting themselves, their parents, their grown kids (who can’t find jobs, or buy homes) the government, etc., etc., but I believe that trend will continue to “infect” the majority of generations going forward. In fact, it could get even worse for them than it has been for the Baby Boomers.
Personally, like most of you, and as most financial professionals agree, we all may need multiple millions to sustain/enjoy retirement–and that’s what I was referring to with regard to “financial solvency.”
IMO, that’s when you can fully support yourself and/or your family for the balance of your life without being dependent on a job, and, as I mentioned, the stats are staggeringly low in that regard.
It’s easy to say we shouldn’t worry about things like that, and just blow it off, but, believe me, if things continue as they are with the ever-growing divide between the wealthy and the middle class (the poor will always be subsidized), there will inevitably be some price to pay (socially, politically, economically, etc.) In other words, you won’t be living in the same world you are enjoying today.
In one way or another, the “financial insolvency” in this country it will effect everyone’s quality of life.
edit: Case in point. Look for those 70% tax rates coming to a country near you. I jest now, but you never know!
