Snapshot of Today's Retirees

Today's retirees have more money. According to the AARP, formerly the American Association of Retired Persons, the median family income for the 50+ population increased by 13 percent from 1995 to 2005.

Today's retirees are retiring later. Employment for 50–64 year olds rose 4 percentage points by 2006, and almost 5 percentage points for 65–74 year olds. Even for those aged 75 and older, employment increased by 1.6 percentage points. Labor force participation (those employed or looking for work) has increased since 1980, which, AARP says, masks two opposing trends: an increase in participation by middle age and older women, and a decrease in the participation rate for men aged 55–64. And these numbers may keep growing:Nearly 80 percent of baby boomers say they expect to work at least part time in retirement.

Today's retirees have cash to spend. Expenditures for “non-essentials” increased from 45.7 percent in 1990 to 47.6 percent in 2004 for those 50 and older. Nonessential spending remained essentially flat for the 50–64 year olds, rising from 50.1 percent to 50.9 percent. However, discretionary spending by 65–74 year olds increased from 41.3 percent to 45.8 percent. Only the oldest group decreased, from 36.3 percent to 34.1 percent.

Today's retirees are online. Two-thirds of those aged 50–64 (68 percent) say they use the Internet. Some 52 percent of those aged 65–74 use the Internet, and 24 percent of those 75 and up.

Today's retirees will have a long retirement. In France, Germany, Italy, Canada, the United States, the United Kingdom, Sweden, and the Netherlands, the average life expectancy after age 65 ranges from 18–21 years for women, and from 14–17 years for men.