Here is a strong warning for those of us who are 55 and older. According to a recent explosive article from the New York Times, many of us are approaching a retirement crisis cliff.
Here’s the problem. We have lost up to 10 % of our wealth worth over the last ten years. They’re now calling it the Lost Decade. Sound familiar? Didn’t Japan go through something like this a few years ago?
Our homes have decreased in value. Many of the middle class depend upon their homes as a nest egg. That has changed not only for those younger folks who are upside down in their mortgages, but also for many of us who have already paid off our houses.
Plus our retirement accounts have lost wealth.
Here are some of the consequences
Many of us will be working longer. Mostly, we will not be taking early retirement. Is that really a bad thing if you love your job? But if you hate your job….
However, seniors are also getting creative when it comes to new sources of income. There is always The Internet, which is a new universe of opportunities. But that may involve lots of detailed research so you don’t get involved with the wrong work at home schemes and scams.
Lack of confidence in government, financial institutions
It is more important than ever that we take control of our retirement assets. Last night I was reading a book about Bernie Madoff and that reality has hit hard for many people who lost everything to his pyramid scam. It is almost inconceivable what he got away with for so long. People should have been more vigilant.
We can no longer totally depend upon the “experts” in and out of government. Atfer all, where were they while we were suffering?