Question? Is it society’s responsibility to bail them out?
Here is a great example of the struggle between personal responsibility, spending priorities and society. What will we be saying about these people twenty-five years from now?
Should we simply give up and increase Social Security benefits and taxes so that it replaces 60-70% of pre- retirement earnings and thereby force retirement savings? That could mean a Social Security payroll tax of roughly 28% shared by worker and employer.
Despite the fact that the average age millennials say they expect to retire at age 62, which is younger than the expectations of older generations (ages 45-54 at 66 years old; ages 55-64 at 65 years old; and ages 65+ at 73 years old), a mere 22 percent of millennials say they are currently saving for retirement.
When it comes to financial planning, millennials are more focused on other priorities such as travel, pursuing higher education or buying/renovating a home. One of the arguably most important priorities falls by the wayside with 91 percent of millennials stating they do not even have a financial plan for retirement.
Source: Millenial Study
How could anyone not set their spending priorities to save something for the future?