Hey, senior discount, you look so young!

Magazine publisher Greg Petty of Cary, N.C., trashed his first invitation to join AARP on his 50th birthday.
Jeremy M. Lange for The New York Times
Magazine publisher Greg Petty of Cary, N.C., trashed his first invitation to join AARP on his 50th birthday.

Like millions of Americans, Greg Petty got sucked into the time warp on his 50th birthday.

Fit and forward-looking, he was confused by an unexpected present: an invitation to join AARP. Thinking it couldn’t be for him, Petty, a magazine publisher who lives in Cary, N.C., crumpled it up and threw it in the trash.

Time stops for no man and neither does AARP. When he was greeted with another membership card on his 51st birthday, he read the material and found that aging had its privileges. “I’ve used it to save on car rentals, hotel stays, and lots of other things,” Petty said. “After paying full fare for my entire life, it seems fair to get a discount.”


Welcome to the flexible and often generous world of senior discounts, where prime of life can be considered old and even the wealthy are entitled to special deals. It is a land of shifting perspectives reflecting the realities, economic and otherwise, of a graying America. Look at it one way and you see many people living longer, healthier, more active lives than ever before. From this angle, 70 is the new 60.

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Another view suggests that 50 is the new 65, as businesses continue to lower the bar on deals for older Americans. Plenty of restaurants still offer the early-bird specials favored by blue-haired women and men in oversize windbreakers, but they are being joined by ski resorts and sky diving outfits, high-tech companies, rock concert promoters, dating services, and wedding planners.

Many Americans may recoil at the senior label, but most are happy to enjoy the discounts. AARP reports that 80 percent of its 37 million members say they take advantage of its discounts or deals each year. The website lists more than 270,000 offers pegged to people 50 and older, double the number from years ago.

Yet as more enjoy such benefits while holding the drawbacks of aging at bay, critics are questioning not only the business sense but the morality of age-dependent discounts.

“When the population of older Americans is growing and those people claim a greater share of the country’s wealth, offering someone a discount just because they have reached a certain birthday is on the edge of shameful,” said Ken Dychtwald, president and chief executive of Age Wave, a research and consulting firm that focuses on aging.


A debate about senior discounts has taken off since the Pew Research Center reported that older Americans had achieved greater economic gains than other groups. Combing census data, it found that the median income for households headed by Americans 65 and older had increased more than twice as much between 1967 and 2010 as the gains enjoyed by households headed by adults 44 and younger.

Pew also said the net worth of older households grew 42 percent between 1984 and 2009, while that of households headed by adults 35 and younger plummeted 68 percent. “As a result,” Pew reported, “in 2009 the typical household headed by someone in the older age group had 47 times as much net wealth as the typical household headed by someone in the younger age group.”

Don Campbell, a member of USA Today’s board of contributors, used these and similar statistics in a widely discussed 2012 column, “Why We Should Kill Senior Discounts.” He recalled snickering to his wife, who had just turned 55, that she could now save $3 on a $9.50 movie ticket. “But then I felt guilty — well, almost — when I noticed the family behind us with teenagers who were getting no break at all as they laid out upwards of $50 before they even got to the popcorn stand.”

Some economists contend that the Pew report is misleading. Dean Baker, codirector at the Center for Economic and Policy Research in Washington, said it was not surprising that, after a lifetime of work, older Americans had more assets. But, he said, their median net worth in 2011 — $170,494 — is close to the median price of a new home and hardly counts as “wealth.”

Critics may see people jumping out of Jaguars to buy discount movie tickets as the latest iteration of “welfare queens,” but by and large many Americans at or near retirement age have more in common with struggling pensioners than with Warren E. Buffett.


The median income for people 65 and older in 2011 was $27,707 for men and $15,362 for women, according to the Department of Health and Human Services. Even if those numbers are combined — and they shouldn’t be because many older Americans, especially women, live alone — they are well below the current median household income of about $51,000.

Millions of older people are relatively wealthy. But, Baker said, the real story is not the false equation between age and wealth but the stark financial challenges faced by many Americans, especially the young, who are saddled with record levels of student debt and a stagnant job market.

Discounts for older people became popular in the 1960s and ’70s, according to William R. Smith Jr., a professor of marketing at the Graziadio School of Business and Management at Pepperdine University. Most were aimed at people 65 and older, who were, on average, poorer than other Americans.

The discounts had a solid business purpose. Companies were looking for new ways to nudge a relatively small and frugal population that had weathered two world wars and a depression to spend some money. Other strategies, like early-bird dinner specials and off-peak travel discounts, sought to entice customers with flexible schedules.

Today, the old rationale is being turned on its head as the thrifty elderly of old give way to spendthrift boomers. “Boomers have the most and they spend the most,” said a 2012 Nielsen report, “Introducing Boomers: Marketing’s Most Valuable Generation.” It said their buying power would only increase.

Nevertheless, the discounts aren’t likely to disappear any time soon. When making presentations to older adults, Dychtwald said he asked people to raise their hand if they thought old age began at 65. “No one does,” he said. When he raises the age to 70, “a hand or two goes up.” By the time he gets to 80, most agree that is old. “Then I ask them if they are willing to give up the senior discounts they could receive before then, and nobody raises a hand.”