My parents lived comfortably on just Social Security in retirement

[susancruzs]

Excellent posts and everyone can give back to their community, a neighbor, just in a small way and make a major difference. Back to basics and being concerned about your nieghborhood and neighbors is a good idea for everyone, I think.

[yukiko11]

Originally Posted by katie45

Required income to survive is a relative issue. Some can get by on bare bones and do not feel short-changed or that they are missing out on anything. Others need to be able to travel at will, shop, dine out, etc.

It's all about an individual's personality and how they've live most of their life in the first place. Some are frugal and some are spenders.

The key in the original posting is about having a home paid off. Many retirees do not have that luxury, or are renters and at the mercy of their landlord.

There are some who began saving for retirement 30-40 yrs ago and will have no financial worries; however, they are the minority. The important thing is that a person be as responsible as possible and do the best they can to provide for their non-wage earning years.

Things happen in life, and no matter how much a person plans and saves and prepares, it can often come crashing down. We can only do so much and then be content with what we have and find that inner peace that is not based on money.

You are correct, I started saving when I was 40 after my husband died leaving me with nothing but a lot of unknown debt that I eventually paid off. Now I am planning to use that small savings to pay cash for a home in Nevada or Arizona and hopefully have the proceeds from my current home as a cushion for emergencies.
My whole life, I have avoided taking medications. Don't get me wrong, medications are necessary to keep some people alive, but I personally think that we spend too much money treating symptoms and don't deal with the cause. At my age of 58, so many of my friends take pills to go to sleep and pills to wake up and more pills to get them through the day so they won't have to deal with their feelings. That doesn't even include medicines that are treating actual diseases or medical conditions. I personally have a very deep fear of someday having to choose between medicine and food. When I was diagnosed with high blood pressure which runs in my family, 15 years ago, I couldn't tolerate the medication so I lost 80 lbs, changed my lifestyle and eventually left my high pressure career. Now my blood pressure is normal and I don't have as much money, but I am happier and healthier.
I have four years until I can retire at age 62 and plan to make a little extra money with my kids craft business. I will also have my best friend as a roomate in 4-5 years which will make both our lives a little easier.
It's not as hard for our generation because we grew up when there was not a lot of money and no credit. We may have lived a spoiled life for many years, but we know how to live a more frugal life. I feel sorry for our children who have never known anything but plenty their whole lives. They don't have a clue. What is going to happen to them at our age?

[Tesaje]

Originally Posted by yukiko11

It's not as hard for our generation because we grew up when there was not a lot of money and no credit. We may have lived a spoiled life for many years, but we know how to live a more frugal life. I feel sorry for our children who have never known anything but plenty their whole lives. They don't have a clue. What is going to happen to them at our age?

Good question. What will the entitlement generation do? I was raised by depression era parents and got the full brunt of lessons about saving and waiting or doing without. When I woke up about some of the more spendthrift habits I had acquired, it wasn't hard for me to change back to old and more frugal habits. I could tighten my belt more too. It has got to be hard for someone who always whined to mommy and daddy for the next toy and got it to learn more reasonable habits.

[lenora]

I have a different take on the baby boomers' children. I figure there are at least two groups within that generation (not including the "working poor"). There are those children like my own, who grew up in an affluent household but were taught financial skills and then there are those who did not grow up in an affluent household but whose parents nevertheless spent as if they were affluent. The first group probably began investing at an early age, i.e., Roth accounts and/or 401K contributions. This group will do just fine.

I believe the second group will also be fine. They are, after all, living through this economic crisis and just as our parents lived through and learned from the Great Depression, this group may do likewise. In fact, I would be surprised if this group does not surpass our generation in preparing for retirement.