Encore! Encore!

The die has been cast. I've publicly announced my intention to retire next year. I purposely made it a known fact with my employer because I'm the type of person who resists stepping outside of my comfort zone. And, I'm long overdue for a shake-up. By setting it as a declared goal, I am forcing myself to take deliberate steps to achieve it. It's just how the bullish mind works. For more information on that, click here, but I can save you the trouble. I'm methodical, deliberate, plodding... have you ever seen a cow path? Cows follow the same path they took the day before, and the day before that, even though it's not a direct route to their destination. 

However, while sticking with a path that has proven successful, albeit convoluted, succinctly describes a Taurus personality — or at the very least MY Taurus personality — I think it could easily apply to the baby boomer work force as a whole. We are a demographic that challenged the status quo by refusing to follow the straight and narrow line. We boldly chose a path that allowed us to see what was possible if we strayed a little here and there. Sometimes it worked out for the better, sometimes not. But, what's important is we imagined something different. And, we're not quite done with bringing about change. The generation that questioned everything is now reshaping attitudes about aging and, specifically, retirement. 

The attitude of "never growing old" has carried over for some of us, the idea that if we stop moving, we start dying. Medical science has allowed us to expect as much as 25 more years of life than what our parents had. I know I don't think of myself as the same 60+ years old that my parents were. Some of us are still trying to recover from loses sustained by our overconfidence in a fragile stock market. Technology has given the baby boomer generation choices that did not exist previously. All of these factors add up to a completely different concept of retirement. And, while we may not be willing to continue in the same rat race, myself included, we're still not quite ready to throw in the career towel. In the truest sense, a lot of us have reached that fork in the road and are electing to detour from the tried and tested route to take a path less traveled. We're up to the challenge of "what if" just one more time.

There's some really good news in this economically. For one thing, those classified as senior citizens have more wealth than that age group has ever had before. In fact, a recent AARP study showed the numbers of seniors living in poverty has declined by 6% in the past 20 years, while the proportion of older Americans enjoying a "high" income has increased from 18 to 31 percent. That's pretty significant, considering the strain on Social Security may not be as catastrophic as most doomsday preppers have been predicting. 

In fact, according to US News and World Report, some investment firms have proactively taken steps to identify markets that will benefit from the upcoming senior spending trend, which include medical care (of course), travel (certainly) and consumer products that include... don't laugh... Depends, fiber supplements, vitamins and anti-aging products. 

Also, by stepping out of current long-held positions, boomers not only open the door for employers to hire younger employees for a reduced salary, the boomers give themselves an opportunity to follow a passion, learn something new, share well-honed skills and knowledge, volunteer... make a difference, which has been and always will be our legacy. Already there are a number of books and websites dedicated to what is being termed as "Encore Careers."  

The boomers will be the first generation to truly blaze the trail for retirement in the 21st Century. World, are you ready for this?

Optimistic Acceptance of the Inevitable

The eastern world, it is exploding
Violence flarin', bullets loadin'
You're old enough to kill, but not for votin'
You don't believe in war, but what's that gun you're totin'
And even the Jordan River has bodies floatin'
But you tell me
Over and over and over again, my friend
Ah, you don't believe
We're on the eve of destruction.
(Lyrics from “The Eve of Destruction” made popular by Barry McGuire, 1965)

 

When I think of all the worries people seem to find
And how they're in a hurry to complicate their mind
By chasing after money and dreams that can't come true
I'm glad that we are different, we've better things to do

Let others plan their future, I’m busy loving you

(Lyrics from “Let’s Live for Today” made popular by The Grassroots, 1967)

Some people like to say the boomer generation was short-sighted in planning their futures. Born in an era of affluence and raised — translated by some as indulged — by parents who suffered through the hard-scrabble existence of the Great Depression, there can be no denying we took consumerism to the dizzying height that drives every economy in the world today. And, even today, we spend more money in this consumer-based economy than any other generation before or after. Whether or not that is a good thing is a matter of economic debate and totally dependant on perspective. Some people shudder at the thought of what will happen to the economy when baby boomers are forced to curb their spending habits due to living on fixed incomes.

I guess from the viewpoint of hindsight being 20/20, it’s easy to come to the conclusion that we weren’t the best financial planners. I say, you had to be there. We came of age during the decade of the 60s, recounted by most historians as the most violent period of the 20^th century. An era described with terms like “counterculture,” “social revolution” and, my personal favorite, “FUBAR,” seemed to emphasize the futility of concentrating on building a career that would allow us to pay for the growing costs of inflated consumerism, including the outrageously expensive education of the 2.6 babies we would eventually beget while supplementing our parents who, lo and behold, thanks to modern medicine, were living far beyond their own planning. I think we all pretty much felt we had enough on our plates, thank you very much, without contemplating “who will need me, who will feed me, when I’m 64.”

It is painfully obvious that we weren’t aware of the impact of such a large population sharing birthdates that fell within a mere 11 years. I don’t think we were even aware of how large a population we were until the 80s. It’s a given we didn't foresee all the ramifications of boomers retiring at the same time. Instead, we admired the solvency of Social Security during the following 40+ years… easy to do when you have a population of over 75 million contributing. Fast forward to 2011 and whoopsie… guess what… those 75 million are starting to pull the plug. What to do? What to do? Just mentioning the fact causes the stock market to drop 20 points.

I’m a pragmatist, and my take on this situation is this… sooner or later, people are going to have to realize that 1) the cash cow is retiring, and 2) they’re going to need to find a new cash cow. However that is done, it’s guaranteed to be painful for some, resented by most and blamed entirely on the baby boomers. So be it. But, whether later generations want to admit it or not, the vast majority of the money in Social Security was contributed by, and on behalf of, the baby boomers. It’s not an entitlement, it’s our money, pure and simple. It's time for everyone to just accept that, deal with it and move on.

Trust me... regardless of whether baby boomers bankrupt Social Security or not, the world will keep turning.

Don’t hate me because I’m a baby boomer.

I think some people, especially Gen X upstarts, believe me to be a little too proud of my baby boomer status. Whatever. Baby boomers are defined by the 60s decade. Some people nowadays look back on that time with a sense of nostalgia. Sure, a lot of cool things happened, but it wasn’t all drugs, sex and rock and roll. Some parts were downright ugly. Anyone who survived them without obtaining an arrest record, FBI file or change in country of residence is entitled to some bragging rights.

I’ve read several articles recently in which 20-somethings are complaining that if the baby boomers would just retire (roll eyes here), there would be more opportunities for them. Yet, there is a growing number of employers who are recognizing that following generations do not have the commitment or work ethic of us oldsters and are making efforts to encourage the experienced older employees to remain, rather than risk the expense of training someone just to have them jump ship a couple of years later. Employment analysts report that the total cost of training a new employee, including lost revenue due to reduction in prime production levels, on average, equals three times that person's annual salary. Average tenure on a job for baby boomers is 11 years. For Millennials, that number drops by half. That's a significant difference in ROI. 

Quite frankly, you whippersnappers should probably think twice about pushing us to move out of the work force. It’s not just the impact on Social Security that has Congress nervous about baby boomers retiring. All you have to do is look at how marketing has followed the spending patterns of our huge demographic over the years to understand the power the boomer consumer has on the economy. Trust me... You do not want us having to severely curb our spending habits due to being on a fixed income. The numbers are irrefutable. Boomers have more discretionary income than any other age group, control $7 trillion of wealth, own 80% of all money in savings and loan associations, spend more money per person than any other age group and account for a whopping 40% of total consumer demand. Yeah, chew on that for a while.

Truth be told, baby boomers could just as easily claim that the recent change in attitudes regarding retirement age and Social Security is part of a conspiracy to keep our money flowing into the coffers. Ford Motor Company is certainly paying attention. It is the first and only automotive manufacturer to use a "third-age suit" to give younger engineers and designers a feel for the needs of older drivers. The suit mimics some of the physical restrictions that are common for people over age 50. Want to know why? It’s because the average American household purchases 13 cars over a lifetime — and seven of those are purchased after the head of the household turns 50, according to a survey conducted by AutoPacific.

And, that’s just the beginning. Experts predict that, by 2050, for the first time in history, the population over 65 will be greater than the population under five. You can have no doubt that, true to our history of setting the standard for social awareness by upsetting the status quo, baby boomers will drive the development of products that accommodate rather than discriminate, sympathize rather than stigmatize, and appeal to users of all ages and abilities. Just as we were the catalyst for change to make it easier for later generations to go to college, women to achieve C-suite positions and everyone to see what goes on in the oval office, all while teaching the world to sing (right before enjoying a Coke), we will effect change on the mythic limitations of age.

 So, I make no apologies for being loud and proud of being a boomer. From birth, our very existence has effected social and economic changes, some due to our sheer number, others due to our collective beliefs, some good, some bad. But, we’re still here, and we are obviously still relevant. If you youngsters just absolutely have to blame somebody for our continued strength, blame modern medicine. Average life expectancy at the turn of the 20^th Century was 45. It is now 78. When you get to be my age, it’ll probably be 100, and all the 40-somethings will be lobbying for you to step aside.

Age is nothing. Attitude is everything, so take heart with this... We made it super hip to be young. We are now making it super hip to be old — because that’s just the way we roll. You’re welcome.