2011 — the year of the Silver Tsunami
By Chris Orestis
Life Care Funding Group
Happy Birthday Ed Mahern of Indiana!
On January 1, 1946 at two seconds past mid-night, Ed was one of the first baby boomers born in the Untied States. And on January 1, 2011, he was one of the first baby boomers to turn 65.
Over the course of the day, 10,000 other baby boomers joined him in celebrating their 65th birthdays. And every day going forward approximately 10,000 more baby boomers will turn 65 — for the next 19 years.
79 million Americans born between 1946 and 1964 are baby boomers. Jan. 1, 2011 marks the day the Silver Tsunami hits and keeps on hitting for the next two decades. The impact that this generation will have on our country’s social support programs (Social Security, Medicare and Medicaid) will be enormous. These programs are already straining to keep up under the current levels of demand.
Baby boomers comprise 26 percent of the population in the U.S., and as they keep aging we will look back on the current economic environment as the “good old days.”
Now that the Silver Tsunami is upon us people will need to do more planning for their own long term care futures.
It is a given that there will be less government dollars to go around. Adjustments to those programs such as raising the minimum age levels, lowering payment amounts and more restrictions to use of funds are all on the way.
Most people ignore the eventual consequences of not being prepared to fund long term care. The more people can prepare themselves for the inevitable, the less shocking it will be when it is their turn to enter the long term care industrial complex.