Retirees doing better than in past, survey says
Contrary to what you may have heard, new retirees are doing better financially than those of previous generations, according to research being published recently by a mutual fund industry trade group. “On average, more-recent generations of households have higher levels of resources to draw on in retirement than previous generations,” said a study by the Investment Company Institute. “Other measures also indicate improvements in retiree well-being. For example, the poverty rate among people aged 65 or older has declined from nearly 30 percent in 1966 to 9 percent in 2011.” These findings — culled from a survey of academic, government, and industry research — run counter to the oft-quoted conventional wisdom that older people will be left impoverished by the decline of traditional defined-benefit pension plans.