Amercians over 60 feel the economic pinch
September 10th, 2008
More than half of Americans over age 60 say that today’s economic conditions are the worst they have ever experienced. The tough economy has affected the way they spend money, but not their plans for retirement. That’s the conclusion of a survey for the MetLife Mature Market Institute by Harris Interactive.
The highlights (or should we call them low-lights?):
In Feeling the Economic Pinch: A MetLife Poll of Americans 60+, 87% of respondents said they are curtailing their spending; 70% are cutting back on essentials like food and transportation. Eighty-two percent are spending less on non-essentials like dining out and vacation. In addition, 17% report having had to provide more financial assistance to family and/or friends as a result of the current economy.
“There is no doubt that older Americans are being adversely affected by the current situation,” said Sandra Timmermann, Ed.D., director of the MetLife Mature Market Institute. “A closer look at the findings shows that women are tightening their spending habits more than men, and not surprisingly those who earn less are cutting back even more.
Timmerman noted that older Americans aren’t showing signs of panic, such as withdrawing retirement funds from their accounts. She also noted that the study reflects rising appreciation for the importance of Social Security as a guaranteed income stream in retirement.
No surprise there; as I noted in a recent column, Social Security is a hot-button issue in this election season, and it’s an overwhelmingly popular government program.
