With a down economy, the majority of the Millennial generation has nothing saved for retirement. But they’re also most at risk for not getting Social Security payments later in life. Raising the retirement age would help ensure that something is left for them.
St. Petersburg, Fla.
On my 50th birthday in 2030, probably hours before a cliché party with black balloons, I will join AARP, the American Association of Retired Persons, whose members must be beyond the half-century mark. That is, if the lobbying giant and Social Security defender has anything left to do for me. It seems wiser to form my own organization now, perhaps The American Association of Young Persons Who Want to Retire Someday, Too.
At this point, I have little hope of having returned to me even a shred of the Social Security money currently taken from my wife and me. In a break from its historically staunch position on keeping the early and regular Social Security benefit ages at 62 and 66 respectively, even AARP came out this June with an acknowledgment that reforms are needed.
The fiscal fact of the matter is: The Social Security collection age needs to be raised if there’s going to be something left for my wife and me.
No need to reprint here the well-known details of Social Security’s parlous future, only that the government has enough money to pay full benefits until 2036, when I’m 55. And of course, as with other forecasts on US government debt, it is highly likely that this prediction will change in the unseemly direction.
Born in 1980, it’s not at all unlikely that I could live into my late eighties or early nineties. If the age of minimal Social Security collection were raised to 69, I could very well be returned some of my sheared wages for 20 to 25 years.
After finishing a PhD in 2009, I couldn’t find an academic teaching job in the United States. I took a position at The American University in Cairo for two years and, due to the income-tax free wages I earned abroad, was happily able to pay down student loan debt and intensively save for retirement.
But not even absconding in Cairo can free Americans from Social Security and Medicare taxes. I paid into the same Ponzi bonfire that other thirty-something-and-younger Americans tragically toss their cash into. One financial advisor recently told me to “save like Social Security doesn’t exist. If there’s anything left for you, spoil your grandkids with it.”
As a university professor, I admit that I have a good setup. The academic’s quality of life and job flexibility are worth gold, but the salary is more like pewter, and I will likely need Social Security benefits to make my retirement work. I’m not alone, either.