Use access key #2 to skip to page content.

alstry (34.92)

Can anyone retire????

Recs

8

July 13, 2008 – Comments (9)

“Mary Kleiss missed a mortgage payment for the first time in her life in June. Now she has missed July’s, and expects to soon lose the house she has lived in for 30 years.”

“The death of her husband two years ago started a chain of events that pushed Kleiss into a financial crisis. It culminated with the loss of her job in February, just before she saw a spike in her flood insurance.”

“‘I’m heartbroken to walk away from this home; I see the plants that Joe and I put in in 1991,’ Kleiss said. ‘Whatever Joe did I would like to take with me. Not the new stuff, the memories.’”

“Kleiss is among a growing number of traditionally self-sufficient people plunged into a new world by the steep economic downturn. They are skipping their mortgage payments, standing in line at food banks and reaching out to social service agencies for emergency aid.”

http://www.thehousingbubbleblog.com/index.html

As home values drop.  Stock values evaporate.  Food and fuel  prices skyrocket.  Savings accounts deplete.  And jobs lost.  Those in or preparing for retirement are learning the hard way they are as not as prepared as once thought.

As more and more people head toward retirement age, this problem will grow  and grow.  Right now many seniors and teenagers are competing for the same part time jobs.....the teen unemployment is the highest in over 40 years.

The study, set to be released tomorrow, finds that Americans will have to drastically reduce their standard of living before retirement to live comfortably, or even avoid destitution, later in life. Middle-income Americans entering retirement now will have to reduce their standard of living by an average of 24 percent to minimize their chances of outliving their financial assets, the study found. Workers seven years from retirement will have to cut their spending by even more -- 37 percent....

About 77 million baby boomers are expected to retire over the next few years. The study warns of an impending national crisis if workers, and lawmakers, do not react now to the changing pension structures in corporate America.

http://www.washingtonpost.com/wp-dyn/content/article/2008/07/12/AR2008071200143.html

Less money means less consumption.  Less consumption means less sales.  Less sales means less profits and less taxes.  Less profits means more contraction leading to less money.

Round and round  she  goes........

9 Comments – Post Your Own

#1) On July 13, 2008 at 12:59 PM, LouieJunior (22.93) wrote:

If she has lived there for 30 years, why isn't the house paid for? How can you live in a house for 30 years and be under water after two or three months?

Don't get me wrong -- it's a tragedy. But it has nothing to do with our current economic trouble. This Kleiss' situation had to start going downhill several years ago -- when the economy was percolating along quite nicely.

Report this comment
#2) On July 13, 2008 at 2:13 PM, C17goody (47.03) wrote:

Sounds like "Kliss" stands for K-moron. LouieJunior has it right in that why isn't the house paid for after 30 years? Second of all, if she has fallen on hard times its nothing but her own fault. If her husban was the bread winner they should have had a life-insurance policy on him. Appearently this is not so because she is is a "financial crisis"

The media is distorting this whole economic situation. OHH  NO we have almost 5.5% unemployment! Guess what that means that the other 94.5% of us have jobs! I don't know what grades your use to, but if i ever got anything of a 90% on a test that was a celebration!

Report this comment
#3) On July 13, 2008 at 3:47 PM, zygnoda (27.08) wrote:

Nice job missing the point guys..

Report this comment
#4) On July 13, 2008 at 5:23 PM, eskatonic (29.08) wrote:

retirement enough for two should be overflowing horns of plenty for just one.  did they save nothing for retirement?

Report this comment
#5) On July 13, 2008 at 6:10 PM, FreundInvesting (29.34) wrote:

im pretty sure the point was that the economy is in deep trouble, not that it's sad shes going to lose her house.

Report this comment
#6) On July 13, 2008 at 7:24 PM, alstry (34.92) wrote:

Interesting that readers focus on the first article and not the second which affects over 70 million people.

Report this comment
#7) On July 13, 2008 at 10:26 PM, LordZ wrote:

A lot of what ALstry writes you can wipe your butt with, this guy looks for the most negative examples and over blown stories.

I would hope that  alstry your getting some type of financial gain out of it and not some hope that your caps score will improve based upon lower sentiment.

However the death of a spouse is rather traumatic on finances.

Usually the bread winner dies first, leaving the other and their family usually in much worse shape.

When her husband died 2 years back would have been the time to make changes, instead she probably sought loans to continue to live in the lifestyle she was accustom to ??

I don't know but that would be my guess given that she lost the home that she lived in for thirty years due to not being able to keep up with payments ?

My point would be to save up for these rainy days, you don't have to spend and spend, most people in their fools gold lust for more and more salaries often get lost in that its what you end up with that matters most.

Either the 70 million expected retirees saved up enough or didn't. !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

How many years should they have been saving ??

10 ???

20 ????

30 ???????

40 ??????????

50 ??????????????

Alsty there are millions upon millions of old people that are going to be able to retire extremely comfortably, and a good many of them got there by saving not consuming,

investing in stocks, not running away from the market.

Why aren't stories of sucessful people who worked some plan, more prevalent....

rather than this bullsh*t doom and gloom that  alstry,

Dwot, and a huge number of others seem fixated upon ???

If you've lived in the same home for 30 years and if you managed to screw up by not preparing  for your golden years than whos fault is it really.

Many would scream George Bush,

but come on lets get real...

Just look in the mirror if your looking to lay blame on others.

LORD Z

 

Report this comment
#8) On July 13, 2008 at 10:30 PM, LordZ wrote:

Oh to answer your question

Alsty

yes anyone can retire.

I got retired back in 2007

Its a good thing that I saved my money..

 

Report this comment
#9) On July 13, 2008 at 10:35 PM, alstry (34.92) wrote:

I just hope you are ready to go back to work if necessary.  I plan on retiring about 3 years after I die.

Report this comment

Featured Broker Partners


Advertisement