Strengthen social security to benefit baby boomers in their retirement

It wasn’t all that long ago that America’s enlightened generation was nicknamed the “baby boom” generation, referring to people born between 1946 and 1964. This generation became the movers and shakers of modern American society, responsible for many dynamic innovations and developments that have taken place, particularly since the 1970s. They provided phenomenal history-makers in various fields, including politics, business, technology, entertainment, and sports.

The aging baby boom generation

Now, this baby boom generation is aging rapidly, averaging ages 59 to 77, with over 50 percent, mostly aged 65 and over, either retired or forced to retire and unable to find alternative jobs relevant to their accumulated experience.

Financial challenges in retirement

More concerning is that most of those who have retired, been forced to retire, and are unable to find jobs depend on incomes, mostly from Social Security, averaging some 60 percent less than incomes earned before retirement, placing them in a serious financial plight.

With the US Census Bureau estimating that over 19 percent of Florida’s population was over age 65 in 2020, the predicament of seniors in the state is particularly concerning. In South Florida, approximately 18 percent of the population is over age 65, including over 24 percent in Palm Beach County.

This is also a serious problem for the region’s Caribbean American population as, according to local demographic researchers, 25 percent of this community is over age 65, including most of the flow of migrants who arrived from the Caribbean in their 40s during the 1970s and 1980s.

The role of social security

According to the Social Security Administration (SSA), about half of Florida retirees earn more than 50 percent of their income from Social Security. For 27 percent of current retirees, Social Security represents over 90 percent of their income.

Despite this serious predicament, it hardly seems a priority in the campaigns of aspirants for political offices, municipal through to federal. But, on the other hand, there are politicians campaigning for federal office who make eradication of Social Security a prominent issue. The future of the program always seems to be in jeopardy.

While the baby boom generation is being rapidly succeeded by generations born after 1964, including the more liberal, radical Millennials born after 1981, there’s much the baby boomers can still contribute through their vast experience.

Instead of forcing out workers over age 55 from the workforce through retirement, more emphasis should be placed on retaining senior employees as mentors or consultants to the new generation of incoming workers.

In several organizations, continuity of operations undergoes several premature stops and re-starts as new generations of employees enter and redefine these operations. This is a waste of scarce corporate/organizational resources. More stability could be gained in several companies by retaining some senior employees to pass on proven corporate culture and processes.

Some may counter the argument of retaining some senior employees past age 55 or even 65 by claiming companies need to weed out older employees to make way for a younger generation of employees with new, revolutionary ideas. While this isn’t a baseless counter-argument, it’s nonetheless possible that the production output and profit margins of several companies and organizations could be enhanced by retaining outstanding experienced senior employees to pass on their experience to younger employees in a structured transitional phase.

But realistically, even if more measures are taken within the private and public sectors to retain the services of people over 55 for more years, ultimately, they’ll have to retire. Unless they are among the less than 10 percent of seniors with retirement accounts, they’ll have little alternative but to depend on Social Security benefits.

Astonishingly, the 2023 Employee Benefits Research Institute Retirement Confidence Survey indicated that 42 percent of American workers surveyed have saved less than $10,000 toward retirement. Also, only 63 percent were confident they would have enough money to live comfortably through their retirement.

Therefore, with Social Security being such a vital component to millions of Americans, including some 4 million Floridians and over 150,000 Caribbean Americans in South Florida, voters must demand candidates who run for various state and federal political offices reveal plans for improving this crucial benefit. This isn’t just a problem for seniors but every American approaching retirement age.

Moreover, with Social Security benefits, according to the SSA, contributing some $5.2 billion to Florida’s economy monthly, the improvement of this benefit isn’t only vital to the livelihood of seniors but also to Florida’s general economy.

Political priorities: The future of social security

It is sound personal financial planning for Americans to prepare for their senior years. But only relatively few of them can. Baby Boomers need and should have a security blanket.

It’s imperative voters demand those seeking political office to divulge plans to ensure Social Security is strengthened and retained. For many aging baby boomers, this benefit is a crucial financial lifeline.

Similar to how society rewards military veterans, it should reward people who made significant contributions to their communities and are retired. They too are veterans whom society has a responsibility to properly provide for.