The retirement picture in 2025

I started taking Social Security in March, just after I turned 70. I was born in the mathematical middle of the baby boom. What does SS look like for boomers?

“The average Social Security benefit for people at age 65 is $1,583 per month, according to the Social Security Administration. For men, the average is higher, at $1,756, and for women, it’s lower, at $1,426.

“It’s important to note that people are not eligible for full Social Security retirement benefits at age 65. Though you can start receiving them as early as age 62, the benefits will be reduced by a small percentage each month before your full retirement age, which is 67 for people born in 1960 and later. As a result, the average monthly benefit for a retired worker is higher, at $1,976. At the exact age of 65, your benefits will be reduced to 86.7% of the full amount.”

Of course, SS was never meant to the only source of retirement income. Starting as a postdoc, my employer and I both contributed to a 403b plan. Many folks have a 401k.

“So, how much does the average 65-year-old have in their retirement account? According to Fidelity, the average 401(k) balance for people ages 65 to 69 is $252,800. If you're following the 4% rule for withdrawals, you'd have about $10,100 available for your first year of retirement, or roughly $800 per month.”

So things are certainly tight for my retired boomer peeps. I know some are still working, at least part-time. As long as you stay healthy and have no dependents, that could be sustainable.

 

https://finance.yahoo.com/news/average-social-security-benefit-65-100000312.html

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