Forbes magazine reports that America is facing a crisis of affordability for one of its most populous and vulnerable generations. Every day, about 10,000 Baby Boomers turn age 65, with all of them expected to reach this age by 2030. Life expectancies continue to rise, with the average ages of women and men now 86.7 and 83.9, respectively.
Meanwhile, the average monthly price tag for living in an assisted living community is $4,051, and the average price for receiving in-home care is $4,290. The average Baby Boomer saves approximately $152,000 for retirement and spends $48,885 per year.
All conditions remaining equal, these trends indicate that many older Americans will be unable to afford their healthcare needs in their 80s or 90s. To be clear, the problem doesn’t just affect Baby Boomers but our entire society and economy.