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When the baby boomer's retire this country will go through a 30 years long process of adjusting to this phenomenon.
First of all, when the Boomer retirement begins is somewhat of a mystery since so many people consider themselves to be boomer's. I'm 70 and I think a bit pre-boomer. I met a guy the other day who was 75 and thought he belonged to the movement - ? That there are several million Boomer's about is not doubted, but the exact definition of the era is somewhat soft.

Second - the major impact on this country is the hellish impact of all these people retiring out of the labor market. Employers who are bitching now about poor selection, not enough people applying, etc. etc., are in for a jolt. One day in the near future - nobody will apply unless you are offering a stellar position with excellent wages and working conditions. The employer who has poor jobs, poor wages and poor working conditions, or any one of the 3, may have to close their doors for lack of a workforce. The draw-down on wages that began with Regan and continues today will disappear and wages will uptrend once again at a much better rate.
Third - jobs may be hard to fill until you look around for a contractor - or someone who is doing the same thing in self employment. For instance, if you can't find a person who paints models coming down a production line and you can't automate, you may have to outsource it to another company for this piece of work and then re-install the job on the production line. Expensive? Don't know yet if the net rate will exceed the hourly and perks total - may not.
Fourth - The Boomer's have re-shaped every decade they have been alive from babyhood through the present. Some 300 universities had to be built to accommodate them - just one of the many facts about this group. They will re-shape retirement years. For instance, we are finding that a good chunk of the boomer's are simply not going to retire! Certainly not at 65! Maybe 75 would be better. Most of them have drifted into positions where they make a difference in their environment and simply don't want to give up the power to influence day to day business. Some are totally unprepared for retirement financially, socially and everything else involved with reaching 65yrs. Others are over qualified financially and could have retired 10-15 yrs ago, but thought differently.
Fifth - I look for a major patch of the Boomer's to go to low cost countries and retire there - particularly the sun countries - Mexico, Costa Rico, S. America, etc. etc. Areas in the USA that offer some part time work will be very attractive to this group - they are not afraid to roll up their sleeves and work a few hours a week to supplement their income and/or have something to do to relieve the monotony.
Sixth - A major movement in financial circles will continue to build as these folks pull out their stocks, bonds, savings, life insurance and other financial vehicles. They will convert these to annuities and the investment tools of the retired. Don't think this is a small segment - many boomer's will have 401's of a million or more. The home they hung onto all these years will get sold off and provide a major source of funding for many retirements. Just think of all those homes in California that were purchased for a few thousand 30-40 yrs ago and are now going on the block for a million or more!
This is just a small sampling of the many changes to be endured as the Boomer's start retiring at an ever increasing rate over the next 5-8 years. After this initial period the number retiring should settle down to even numbers and run its course.
We will survive this just as we survived their teenage years and other aspect of this large group of middle America.

Learn more about this author, Fred Tolleson.
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