- The majority of American retirees are married, female, and have only a high school diploma.
- The average income for retirees in the United States is approximately $35,000.
- Florida, New Hampshire, and Maine all have large populations of retirees.
The baby boomer generation is entering an era of retirement.
According to Pew Research, for the generation born between 1946 and 1964, As of 2023, less than 20% of Americans age 65 and older will be employed. However, this is more than double the percentage of people he worked at retirement age 35 years ago.
This is why a retirement crisis is looming, with many potential retirees either facing financial vulnerability or having to work until they die. The U.S. economy has seen a surge in early retirement during the pandemic, but some are returning to work amid high costs and rising interest rates.
So who are the Americans? Are you lucky to be retired? They are more likely to be married, more likely to have left education after high school, and make up a higher percentage of the population in states like Maine and Florida.
While many young Americans may want to join the FIRE movement, which means they can achieve financial independence and retire early, they are just one example of retirees.
Most American retirees (nearly 60%) are still married. Approximately one-fifth are widows, and a small number are unmarried or single.
The majority of retirees are women, about 57% compared to about 43% of men. Women tend to live longer than men in the United States, so it's no surprise that they make up the majority of people who live into retirement.
But women are more likely than men to have no personal retirement savings, according to a Census Bureau analysis. If women have savings, they are less likely to have more than $100,000.
This gender gap also exists among married Americans. Even once married, women are still more likely than men to have no retirement savings.
In fact, about 13% of retirees live in poverty. It tracks broader national trends. According to the Census Bureau, the official poverty rate in the United States is 11.5%. As of 2023, the poverty threshold for her two-person household where the head of the household is 65 or older was her $18,418.
But that doesn't mean they're rich. The average income for American retirees is approximately $35,393. As BI previously reported, a small majority of Americans age 65 and older live on about $30,000 a year. The same goes for retired people.
Almost a quarter have incomes of less than $10,000; largely Retirees earn less than $40,000. Middle-income retirees are in short supply, with only about 15% earning between $50,000 and $100,000.It seems that there is also small This group is concentrated at the top of the income spectrum, with more than 5% of retirees earning more than $100,000 annually.
Income for retirees can come from a variety of sources. Some retirees still receive some wages, but many others derive their income from Social Security benefits.
According to Gallup, the average retirement age in the United States is rising. In 1991, he was 57 years old. He was 61 years old in 2022. Similarly, Americans' “target” retirement age has been raised from 60 years old in 1995 to 66 years old in 2022.
The “full” retirement age for receiving maximum Social Security benefits is 67 for people born after 1960. So, perhaps unsurprisingly, American retirees tend to be in their 70s. A large proportion (just under a third) are in their 60s, and only about 5% are in their 50s. Overall, young retirees under the age of 50 make up only 2% of retirees.
Retirees in America are not necessarily college graduates. The largest percentage, about one-third, only graduated from high school. A quarter have a college or associate's degree, but only 18.5% have a bachelor's degree. Gen Z is now seeking a different experience, which can be attributed to a change in the generation's attitude towards education.
Finally, some states are retirement hotspots. If you're looking for an American after work, the beach, somewhere warm, or New England is the place for you.
In Florida, for example, approximately 20% of the state's population are retired. The same goes for New Hampshire and Hawaii. And while they may be good retirement destinations, some states are trying to attract workers to replace vacationing retirees. Maine, for example, is trying to attract first-time homebuyers by offering first-generation buyer assistance and forgiving student loan debt.
Have you retired? Can't quit your job? This reporter can be contacted at: jkaplan@businessinsider.com.
