Baby Boomers' Retirement Prospects: An Overview

Having enjoyed historically high incomes over
their working years, baby boomers (people born from
1946 to 1964) make up one of the most prosperous
generations in U.S. history. In the past 15 years, however, their finances have become a source of concern
in policy circles and in the press as doubts have arisen
about whether boomers are accumulating enough
wealth to maintain their current or expected standards
of living after they retire.1
One worry is that low saving by boomers could hurt the economy by limiting
the growth of investment, productivity, and wages.
Such curbs on economic activity could compound the
budgetary pressures that the federal government will
face as increasing numbers of boomers become eligible
for benefits from Social Security and Medicare.