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width=”300″ height=”200″ />Baby boomers just can’t get a break. Catherine Rampell of the New York Times’ Economix blog reports that since mid-2009, the median household income across the working age population has fallen, with the worst decline (10 percent) seen among 55 to 64 year olds. Rampell notes that re-employment opportunities for this age group are slimmer than for other age groups, Preretirees that find work usually take a pay
cut. If economics is known as the “dismal science” then this news can’t
get much worse, particularly in light of the magical economic “recovery” that has taken place. Today’s pre-retirees clearly have daunting challenges before them and hopefully they will not have to enter retirement relying solely on Social Security.
Many recent articles have focused on the decline of the median household income over the past 10 years, and the devastating impact on those who are trying to plan for retirement. But there is much more going on here. In a soon-to-be-released NCPA study, I will discuss the other side of the coin: spending. Stay tuned for another episode of the “dismal science.”