"There are no second acts in American lives," said F. Scott Fitzgerald in an un-published novel. 80 million baby boomers intend to prove him wrong.
In a survey published yesterday, 50% of Baby Boomers indicated that their "retirement" will consist of doing work that helps others...that contributes to the greater good now, and in their retirement.
"Civic Ventures" is a non-profit think tank that works to expand the social contribution of older Americans. Yesterday, they released the results of a study made in conjunction with MetLife entitled, "The New Face of Work Survey." The results are compelling, and have profound implications for financial advisors who have clients/prospects in this huge demographic.(For a copy of this study, go to the Civic Ventures link, and download.)
No doubt, you have seen the numbers that describe this demographic revolution. Here they are again:
- 50% of the people in this country who have reached the age of 60, are still alive. The size of this group is soon to double...by the year 2030, 25% of all Americans will be over 60.
- Over the last century, the average American lifespan has gained 30 years...from 47 in 1900, to 77 today.
- A female child born in the coming decades can anticipate a 50% chance of living to 100 years old.
Back to the results of the survey:
- 58% of the leading-edge Baby Boomers, ages 51-59, want to take jobs that serve their communities.
- Work and volunteerism are being combined in the minds of the Baby Boomer...a hybrid notion of the continued income and the seriousness/structure of work, while also focusing on the spirit of service.
- Jobs in education and social services were two of the three types of work most mentioned. 75% of the group who expressed an interest in working, would like to help the poor, elderly, or others in need.
The New Golden Age. The Golden Years for past generations was more of a time of much-needed R-and-R that lasted for a few years, before the onset of a rapid decline in health. Retirement was never expected to last for decades. In the words of Walter Reuther, retirement was a period where persons were, "Too old to work, and too young to die."
Of course, some Americans will still point to the old retirement ideal, yet for many Baby Boomers it will be a time to catch their breath before tackling the next challenge. In Britain, the term for this new chapter in working lives is "the third age,"...a relatively healthy, vigorous period that will approximate one's midlife in duration.
In January of 2006, the first of the Baby Boomers will turn 60. Within this cohort, there will be a strong need for planning, not only in a financial sense, but how one might actually spend the 20-30 years beyond midlife. Currently, there are few places for Baby Boomers to turn for help. Many will be left to their own devices...spinning their wheels as they look for direction and connection.
In theory, financial advisors are well-poised to tap into the idealism and energy of this highly-skilled population who seek engagement and opportunities.
Are YOU ready?
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