From Marketwatch:
We all think it’s a panacea. If you don’t have enough money saved for retirement, you’ve got a few ways to close the gap between what you have and what you need in your nest egg: Save more, invest more aggressively, and/or work longer.
Well, it turns out that working longer is indeed an option, according to the Employee Benefit Research Institute latest study. The only problem is that the latest research shows that you’ll have to work much longer than you anticipated. In fact, many Americans will have to keep on working well into their 70s and 80s to afford retirement, according to the study, titled “The Impact of Deferring Retirement Age on Retirement Income Adequacy.”…
Lots of reasons for this, but the primary reason is that we don’t produce enough wealth – we’re not making, mining and growing enough of our own stuff to build up the wealth necessary to allow the elderly to not work. Officially, I’ll get to retire at 67…but taking a look at one thing and another, it is looking more like 70 for me, and that is only if things go well.
Until we start producing more wealth, however, this condition will just get worse and worse. You really can’t sustain an economy if you are outsourcing all the hard, dirty work. An economy has to be geared towards the production of things of value – “innovation” and taking customer service calls over the phone just doesn’t cut it.
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