When I was 25 years old, I was way too busy thinking about beer and boys to worry about retiring. But the world and retirement planning have apparently changed.
The Canadian-based market research firm Ipsos.com, found that 46 percent of young adults between the ages of 25 and 34 are already concerned about not having enough money to retire. Some 37 percent think it is unlikely that they will ever be able to cover basic monthly expenses in retirement.
My husband and I used to laugh about retiring to a cheap acre of land and living in a double-wide with a garden and a few chickens. In these tough financial times, that doesn't sound like such a bad idea, so probably the young people who responded to this poll and don't think that a trailer and poultry sound appealing are correct in being concerned about their ability to put together a real retirement plan.
In 2006, there were 7.2 people between the ages of 18 and 65 for every person older than 65. By 2030, that ratio will drop to 3.7, according to the U.S. Census Bureau. This year, boomers constitute 27 percent of the U.S. population and 47 percent of all U.S. households. As they grow increasingly dependent on Social Security and Medicare, there will be more people drawing from these systems and fewer people contributing to them.
That's the bad news. The good news is that if you're 25 years old, you've got 40 or 50 years to figure this out. By that time, most of us boomers are going to be in a plot much smaller than an acre.