Jul 25, 2011
A Special Report for Female Baby Boomers
Women in the Baby Boomer Generation have grown up in a different world. This unique group of women must look toward retirement differently than previous generations of working women. Social Security has changed Working women prior to the Baby Boomer Women may have made less, but their employers or their spouse’s employers had retirement plans that pretty much took care of them in retirement. When the laws changed for these plans, many employers closed them down. 401(k) plans were the new retirement plan, and they didn’t cover retirement needs in the same way.
Baby Boomer women, because they attained a higher level of education, have been part of a labor force that has earned larger salaries than women in the past, married later in life and divorced more.
Many Baby Boomer women are relying on 401(k) plans for retirement. The up side of a 401(k) plan is when you leave a job, you can take the full accumulation with you; the down side of 401(k) plans is that women have longer life expectancies. Many previous plans took care of you for life, the 401(k) may run out and then what happens?
The answer is that Baby Boomer women must be prepared to bridge this gap in retirement income by working longer to acquire the income to maintain their current lifestyle.
The bottom line is that women need to be better prepared for their futures than their counterparts of the Pre-Baby Boomer generation. So, if
you have not started, now is the time to do so.