Abstract
Social, economic, demographic, and public policy shifts have made retirement security a pressing concern. Male labor force participation pre-age 55 has slumped, men’s median earnings have stagnated, marriage and homeownership rates are falling, debt levels remain high, and out-of-pocket spending on medical and long-term services and supports are rising. Other trends are more encouraging, such as women’s higher earnings, the rise in labor force participation at older ages, and improvements in educational attainment. The chapter uses a dynamic microsimulation model to project how various forces might play out over the next 30 years to shape the retirement security of US residents born in the 1980s. Projections show that median age-70 income will be higher for Millennials than for previous generations, but this cohort faces a higher risk of seeing falling living standards in retirement.
