In the September 2013 issue of the AARP Bulletin is The Poll, the “Job Scene.” AARP surveyed 1,187 adults age 45 and older from June 27-July 7, 2013 to find out whether people over age 45 have adjusted their work intentions in the face of the recent recession. I guess we shouldn’t be surprised by the response.
According to the survey, the recession has changed plans for those between ages 45 and 54 most of all.
| Ages: | 45-54 | 55-64 | 65+ |
| Postponed plans to retire | 17% | 15% | 6% |
| Increased number of hours work | 25% | 14% | 4% |
| Lost a job | 14% | 6% | 2% |
| Taken a pay cut | 14% | 16% | 7% |
| Lost health benefits | 18% | 15% | 7% |
Odds are you know someone (maybe it is you) who has been impacted by the recession. I prefer to look at this concept from a different angle. The recession hit hard, impacting jobs, wealth accumulation, and retirement planning. It is hard to make up these loses when you are in your middle years.
My dad retired at age 55 and my mom at 60 with full pensions and retiree healthcare that allowed them to live with about 60% of their pre-retirement income for the rest of their lives. They worked hard in exchange for those pensions. During retirement, they traveled and did all sorts of wonderful volunteering and hobbies.
Isn’t that a quaint idea? The first few times I was laid off in the 1980’s, I guessed that my life would be different. Then pensions went away and I knew for sure my life would be different from my parents. No pension. No retiree healthcare. Only Social Security and what I could save. Couple that scenario with the wealth cancelling Great Recession and we find ourselves in a different world.
Fortunately, I saved enough and invested wisely. I could retire today at 55. I know that makes me different from many folks. But why would I want to retire? What would I do? How would I keep myself stimulated, involved and active? There are only so many books to read, however appealing that may sound.
I want to be active and involved with young people. I still have that (young) boomer need to make a difference. I can’t make a difference sitting at home clipping coupons. I want to work! I postponed plans to retire because I never really had plans to retire in the same way my parents retired.
So I compare this survey to my own life: I lost a job in 2011, increased the number of hours I work and postponed plans to retire! I took a pay cut and lost healthcare benefits when I became an entrepreneur. I wait eagerly for the Affordable Care Act to kick in so I can access reasonably priced health insurance. I live on a fraction of my previous income. I am simplifying my life – getting rid of clutter and stuff because I want to and because it is economical in my new situation. I organize my life to travel and work at the same time.
This is the best experience of my life. I wouldn’t trade it for the world.
You can look at the world around you and wish it could be different. Or, you can embrace the change for what it can be. Which way do you want to look at it? What do you really want out of life? Don’t just sit there and complain. Embrace the situation and make some lemonade.