Social Security - A better plan?
Here are some sobering statistics:
|Percent of pop > 65||Average Remaining Life Expectancy for Those Surviving to Age 65|
|1930||5.4%||1940||M 12.7||F 14.7|
|1940||6.3%||1990||M 15.3||F 19.6|
|Percentage of Population Surviving from Age 21 to Age 65||Number of Americans Age 65 or Older|
|1940||M 53.9%||F 60.6%||1940||9.0m|
|1990||M 72.3%||F 83.6%||1990||31.9m|
The impacts as I see them are as follows. There may be others. 1) The age at which benefits start may well have to be raised to age 75 or more. 2) If people want to stop working at an earlier age, they will have to have some sort of savings in a private or personal account. This is already true for those who retire early now, but it may spur the savings habit.