The Baby Boomers who began reaching retirement age in 2011 are expected to add a total of $200 trillion to the nation’s gross domestic product over the next 30 years as they pass away.
An independent economic report prepared by Moody’s Analytics earlier this year predicts the deaths of about 76 million Americans born between 1946 and 1964 will create a long and robust business for cemeteries and funeral homes, especially those meeting the increasing demand for cremation, ecological green burials and individualized memorial services.
Despite the record number of Baby Boomers retiring, a recent study by the Employee Benefit Research Institute found that more than 60 percent of people over the age of 55 have less than $100,000 in savings and 36 percent have less than $10,000.
Just as they are not prepared for retirement, funeral homes and cemeteries with a burial service program indicate this aging population also is not preparing well for death.
Why should Baby Boomers also be planning their final arrangements?
Five Reasons to Plan Ahead:
1. Approaching Deadline
There were about 76.4 million people in America between the ages of 66 and 84 in 2012, but there will be only about 60 million by 2030. Currently, about 3,500 people in this age group die each day in the United States.
Basic supply and demand theory dictates that the prices for services will continue to rise as the demand increases, but those who pre-plan and pre-pay for their final arrangements can often lock in today’s prices.
3. Limited Resources
Cemetery spaces, including traditional gravesites, scattering gardens, columbaria and mausoleums, will become less available.
4. Meaningful Memories
Pre-planning guarantees a memorialization that is true to you and the life you shared with your loved ones.
5. A Lasting Gift
Pre-paid burial planning allows loved ones to properly grieve without the stress of trying to figure out how their departed loved one would have wanted to be memorialized…and how to pay for it.
One of the best retirement tips for Baby Boomers is to plan ahead for this inevitable expense to ensure children, grandchildren and other loved ones can remember you as you would like to be remembered.