People who don't save for retirement

[Anonymous]

Anonymous wrote:

Anonymous wrote:Some keep working, which must get really hard at some stage.

This. My 67-year-old cousin just relocated and is looking for office work, which she's not finding. She thinks she'll have to apply to work in supermarkets. I don't understand how this is sustainable. If social security and savings are not enough for her now, will they be enough when she physically can't work anymore?

My DS16 works at a supermarket and several of his co-workers are in their 60s. They often work two jobs. Maybe at a restaurant and also at the supermarket. They’re on their feet all day, every day and stretching to make ends meet. He’s learned a lot of lessons from those coworkers.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Some keep working, which must get really hard at some stage.

This. My 67-year-old cousin just relocated and is looking for office work, which she's not finding. She thinks she'll have to apply to work in supermarkets. I don't understand how this is sustainable. If social security and savings are not enough for her now, will they be enough when she physically can't work anymore?

My DS16 works at a supermarket and several of his co-workers are in their 60s. They often work two jobs. Maybe at a restaurant and also at the supermarket. They’re on their feet all day, every day and stretching to make ends meet. He’s learned a lot of lessons from those coworkers.

I mowed grass and did some manual labor during hs and college. Worked with older folks and realized early that I had to save/invest for my retirement as soon as I got my first job after college. I knew there was SS benefits for retired working people but I did not count on it. It is a wonderful journey in life as you leverage your labor to financial freedom. Slow and easy, $$$ invested for decades doesn't disappear in a market crash or Presidential tantrum.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Some keep working, which must get really hard at some stage.

This. My 67-year-old cousin just relocated and is looking for office work, which she's not finding. She thinks she'll have to apply to work in supermarkets. I don't understand how this is sustainable. If social security and savings are not enough for her now, will they be enough when she physically can't work anymore?

My DS16 works at a supermarket and several of his co-workers are in their 60s. They often work two jobs. Maybe at a restaurant and also at the supermarket. They’re on their feet all day, every day and stretching to make ends meet. He’s learned a lot of lessons from those coworkers.

I mowed grass and did some manual labor during hs and college. Worked with older folks and realized early that I had to save/invest for my retirement as soon as I got my first job after college. I knew there was SS benefits for retired working people but I did not count on it. It is a wonderful journey in life as you leverage your labor to financial freedom. Slow and easy, $$$ invested for decades doesn't disappear in a market crash or Presidential tantrum.

This!! Living a bit more frugally in your 20s and 30s means an easier path to retirement. Those who choose to do that tend to do better

[Anonymous]

Anonymous wrote:DH is from a small town in PA. All of his relatives live off of Medicare and SS. Their houses are paid off by the time they retire, but they were like 50k. None of them have any issue living within what they get from SS. It's not a great life, but they still can afford to eat out and a trip every once in a while. In small towns I think SS goes pretty far.

DH's grandma needed a nursing home for her last 3 months and medicaid paid for it. It wasn't "nice" and did have 3 to a room, but she wasn't left out in the cold. Frankly I think that's how medicaid should be. No frills, but you still get care.

My parents live in CA on a fixed income. They are able to eat out a few times per month, but don't travel (not mobile enough).

Their house is paid off, and the assessed property value is set at purchase price (which was super low), thanks to prop 13, so their property tax is low. They pay no income tax (too low). They don't buy much stuff anymore. So really, they just need enough to survive, which they can do on their fixed income. I do help them a bit, though, but not a huge amount.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Some keep working, which must get really hard at some stage.

This. My 67-year-old cousin just relocated and is looking for office work, which she's not finding. She thinks she'll have to apply to work in supermarkets. I don't understand how this is sustainable. If social security and savings are not enough for her now, will they be enough when she physically can't work anymore?

My DS16 works at a supermarket and several of his co-workers are in their 60s. They often work two jobs. Maybe at a restaurant and also at the supermarket. They’re on their feet all day, every day and stretching to make ends meet. He’s learned a lot of lessons from those coworkers.

I mowed grass and did some manual labor during hs and college. Worked with older folks and realized early that I had to save/invest for my retirement as soon as I got my first job after college. I knew there was SS benefits for retired working people but I did not count on it. It is a wonderful journey in life as you leverage your labor to financial freedom. Slow and easy, $$$ invested for decades doesn't disappear in a market crash or Presidential tantrum.

This!! Living a bit more frugally in your 20s and 30s means an easier path to retirement. Those who choose to do that tend to do better

+1 raise hand. I'm on track to retire at 56 with enough to live comfortably and travel until I'm like 95. This has always been my goal since my 20s so I lived frugally to realize that dream.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Some keep working, which must get really hard at some stage.

This. My 67-year-old cousin just relocated and is looking for office work, which she's not finding. She thinks she'll have to apply to work in supermarkets. I don't understand how this is sustainable. If social security and savings are not enough for her now, will they be enough when she physically can't work anymore?

My DS16 works at a supermarket and several of his co-workers are in their 60s. They often work two jobs. Maybe at a restaurant and also at the supermarket. They’re on their feet all day, every day and stretching to make ends meet. He’s learned a lot of lessons from those coworkers.

I mowed grass and did some manual labor during hs and college. Worked with older folks and realized early that I had to save/invest for my retirement as soon as I got my first job after college. I knew there was SS benefits for retired working people but I did not count on it. It is a wonderful journey in life as you leverage your labor to financial freedom. Slow and easy, $$$ invested for decades doesn't disappear in a market crash or Presidential tantrum.

what do you think happens when a banking system collapses?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Those stats might not be accurate. Average 401k balance doesn’t mean total net worth.

I have a Roth IRA with only $7000 in it and another IRA with 60k. One of my 401k’s has 120k. Total net worth is in the millions.

The you did save. Not relevant. Social security.

People these days job hop all the time so there aren’t very many people with huge 7 figure retirement accounts unless you consolidate them or stayed in the same job for 20 years

Why wouldn't you consolidate them so you don't have to keep track of multiple 401ks? I guess the same reason most people don't have wills and trusts.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Some keep working, which must get really hard at some stage.

This. My 67-year-old cousin just relocated and is looking for office work, which she's not finding. She thinks she'll have to apply to work in supermarkets. I don't understand how this is sustainable. If social security and savings are not enough for her now, will they be enough when she physically can't work anymore?

My DS16 works at a supermarket and several of his co-workers are in their 60s. They often work two jobs. Maybe at a restaurant and also at the supermarket. They’re on their feet all day, every day and stretching to make ends meet. He’s learned a lot of lessons from those coworkers.

I mowed grass and did some manual labor during hs and college. Worked with older folks and realized early that I had to save/invest for my retirement as soon as I got my first job after college. I knew there was SS benefits for retired working people but I did not count on it. It is a wonderful journey in life as you leverage your labor to financial freedom. Slow and easy, $$$ invested for decades doesn't disappear in a market crash or Presidential tantrum.

This!! Living a bit more frugally in your 20s and 30s means an easier path to retirement. Those who choose to do that tend to do better

+1 raise hand. I'm on track to retire at 56 with enough to live comfortably and travel until I'm like 95. This has always been my goal since my 20s so I lived frugally to realize that dream.

It's amazing! And especially in your 20s when you never really had money. The issue now is that many kids are growing up with much more, and they expect to live at 22 straight out of college the same as their parents do now. Not realizing that it took their parents 20-25+ years to get to that.
But if you had nothing much growing up, it's easier to live frugally for your 20s and then be well set for the future.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Some keep working, which must get really hard at some stage.

This. My 67-year-old cousin just relocated and is looking for office work, which she's not finding. She thinks she'll have to apply to work in supermarkets. I don't understand how this is sustainable. If social security and savings are not enough for her now, will they be enough when she physically can't work anymore?

My DS16 works at a supermarket and several of his co-workers are in their 60s. They often work two jobs. Maybe at a restaurant and also at the supermarket. They’re on their feet all day, every day and stretching to make ends meet. He’s learned a lot of lessons from those coworkers.

I mowed grass and did some manual labor during hs and college. Worked with older folks and realized early that I had to save/invest for my retirement as soon as I got my first job after college. I knew there was SS benefits for retired working people but I did not count on it. It is a wonderful journey in life as you leverage your labor to financial freedom. Slow and easy, $$$ invested for decades doesn't disappear in a market crash or Presidential tantrum.

This!! Living a bit more frugally in your 20s and 30s means an easier path to retirement. Those who choose to do that tend to do better

+1 raise hand. I'm on track to retire at 56 with enough to live comfortably and travel until I'm like 95. This has always been my goal since my 20s so I lived frugally to realize that dream.

It's amazing! And especially in your 20s when you never really had money. The issue now is that many kids are growing up with much more, and they expect to live at 22 straight out of college the same as their parents do now. Not realizing that it took their parents 20-25+ years to get to that.
But if you had nothing much growing up, it's easier to live frugally for your 20s and then be well set for the future.

pp here.. this is sooo true.

I grew up lmc so living frugally wasn't hard for me. But, my kids have grown up living on the lower side of UMC, and they don't know what "frugal" means.

I know someone who is years younger than me, but we have kids about the same age (my youngest; their oldest). They were basically comparing how we lived to how they lived, and I had to remind them that we had *years* of working and saving ahead of them. A 35 yr old should not be comparing themselves to a 45 yr old in terms of finances.

[Anonymous]

What is really shocking for me as an immigrant in the US is - US Army Veterans have pensions but many are still homeless on the street or don't have a home of their own.

There are so many small towns in the USA with abandoned homes...why not fix those and give it to these veterans for low rent? The pension will flow into the little town's economy and everyone will become prosperous.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Some keep working, which must get really hard at some stage.

This. My 67-year-old cousin just relocated and is looking for office work, which she's not finding. She thinks she'll have to apply to work in supermarkets. I don't understand how this is sustainable. If social security and savings are not enough for her now, will they be enough when she physically can't work anymore?

My DS16 works at a supermarket and several of his co-workers are in their 60s. They often work two jobs. Maybe at a restaurant and also at the supermarket. They’re on their feet all day, every day and stretching to make ends meet. He’s learned a lot of lessons from those coworkers.

I mowed grass and did some manual labor during hs and college. Worked with older folks and realized early that I had to save/invest for my retirement as soon as I got my first job after college. I knew there was SS benefits for retired working people but I did not count on it. It is a wonderful journey in life as you leverage your labor to financial freedom. Slow and easy, $$$ invested for decades doesn't disappear in a market crash or Presidential tantrum.

This!! Living a bit more frugally in your 20s and 30s means an easier path to retirement. Those who choose to do that tend to do better

+1 raise hand. I'm on track to retire at 56 with enough to live comfortably and travel until I'm like 95. This has always been my goal since my 20s so I lived frugally to realize that dream.

We were on a Danube river boat last year and one of the guests was a 94 year old from Australia. He travelled solo.

[Anonymous]

Anonymous wrote:Those stats might not be accurate. Average 401k balance doesn’t mean total net worth.

I have a Roth IRA with only $7000 in it and another IRA with 60k. One of my 401k’s has 120k. Total net worth is in the millions.

I’m guessing you have ownership in a company worth millions right?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Those stats might not be accurate. Average 401k balance doesn’t mean total net worth.

I have a Roth IRA with only $7000 in it and another IRA with 60k. One of my 401k’s has 120k. Total net worth is in the millions.

The you did save. Not relevant. Social security.

People these days job hop all the time so there aren’t very many people with huge 7 figure retirement accounts unless you consolidate them or stayed in the same job for 20 years

It’s amateur hour not to roll over. Anyone who earns enough to reach 7 figures should be embarrassed

[Anonymous]

Anonymous wrote:To invest you need some money. If you're working to survive how much money do you have that's just laying around??

I mean you can't save for anything if you don't make enough to live.

It's nothing to do with the choice of investing for many.

We live in a purely capitalistic society. That means that some have more means than others. For a substantial % of Americans they cannot afford to invest for retirement.

I was a minimum wage worker who invested ca $500 a month and retired very early.
Last thing minimum wage worker needs is to believe that it's the income. It's so many other things, but it's not the income. If any, the low income is the reason they need to do all those other things.
I can start with $0 tomorrow making minimum wage and be out of poverty in a year.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Those stats might not be accurate. Average 401k balance doesn’t mean total net worth.

I have a Roth IRA with only $7000 in it and another IRA with 60k. One of my 401k’s has 120k. Total net worth is in the millions.

I’m guessing you have ownership in a company worth millions right?

Multiple 401k's and brokerages. Highest 401k account is 600k. Highest brokerage is 460k. Net worth 2.4M in mid 30's (married combined). Some of this is due to not wanting to comingle premarital assets.