9 Important Facts About Retirement

Retirement can encompass various meanings, ranging from leisurely travel and quality time with family to embarking on entrepreneurial ventures or charitable pursuits. Regardless of your retirement vision, here are nine intriguing facts about this life stage that might catch you by surprise.

1. While many consider the standard retirement age to be 65, this benchmark was largely influenced by Germany, which initially set retirement at 70 and later lowered it to 65.¹
2. Approximately every eight seconds, one more baby boomer turns 65, with an estimated 10,000 individuals crossing this milestone daily until the end of the next decade.²
3. The population aged 65 and older is one of the fastest-growing demographics in the United States, with 54.1 million Americans in this age group in 2019, expected to surge to 80.8 million by 2040.³
4. The inaugural recipient of a Social Security benefit was Ernest Ackerman, a Cleveland streetcar motorman, who received a one-time payment of a mere 17 cents in March 1937. He had worked under Social Security for just a single day, earning $5 and contributing a nickel in payroll taxes. His lump-sum payout amounted to a modest 3.5% of his wages.⁴
5. Impressively, 77% of retirees express confidence in having sufficient financial resources to lead a comfortable retirement life.⁵
6. The median monthly cost of residing in an assisted living facility stands at $4,500, and a striking seven out of ten individuals will require extended care during their lifetimes.⁶
7. A substantial 64% of retirees heavily rely on Social Security as a primary income source. As of early 2022, the average monthly Social Security retirement benefit amounted to $1,614.⁷
8. The number of centenarians, individuals aged 100 and above, reached 92,000 in 2020, with projections indicating a surge to 589,000 by 2060.⁸
9. Seniors aged 65 and older spend an average of over four hours per day watching television, indicating a significant portion of their leisure time.⁹

How Do These Numbers Impact You?

These statistics and trends underscore a clear reality: the 65-and-older demographic will continue to grow in size and influence in the coming years. Have you made comprehensive arrangements for your healthcare needs? Are you confident in your investment choices? If you find yourself uncertain about your decisions, now might be an opportune moment to develop a robust strategy for your future.

—

1. SSA.gov, 2022
2. Genworth.com, 2022
3. ACL.gov, May 4, 2022
4. Social Security Administration, 2022
5. Employee Benefit Research Institute, 2022
6. SSA.gov, 2022
7. Statista.com, August 3, 2022
8. BLS.gov, 2022