"Their Wealth Has Vanished": Baby Boomers File For Bankruptcy In Droves

An alarming number of older Americans are being forced into bankruptcy, as the rate of people 65 and older who have filed has never been higher - at three times what it was in 1991, while the rate of bankruptcies among Americans age 65 and older has more than doubled, according to a new study by the The Bankruptcy Project. 

Older Americans are increasingly likely to file consumer bankruptcy, and their representation among those in bankruptcy has never been higher. Using data from the Consumer Bankruptcy Project, we find more than a two-fold increase in the rate at which older Americans (age 65 and over) file for bankruptcy and an almost five-fold increase in the percentage of older persons in the U.S. bankruptcy system. The magnitude of growth in older Americans in bankruptcy is so large that the broader trend of an aging U.S. population can explain only a small portion of the effect. 

The median senior filing bankruptcy enters the system $17,390 in debt, vs. an average net worth of $250,000 for their non-bankrupt peers. 

According to the study, a three-decade shift of financial risk from government and employers to individuals is at fault, as aging Americans are dealing with longer waits for full Social Security benefits, 401(k) plans replacing employer-provided pensions and more out-of-pocket spending on items such as health care. 

“When the costs of aging are off-loaded onto a population that simply does not have access to adequate resources, something has to give,” the study says, “and older Americans turn to what little is left of the social safety net — bankruptcy court.”

“You can manage O.K. until there is a little stumble,” said Deborah Thorne, an associate professor of sociology at the University of Idaho and an author of the study. “It doesn’t even take a big thing.”

The data gathered by the researchers is stark. From February 2013 to November 2016, there were 3.6 bankruptcy filers per 1,000 people 65 to 74; in 1991, there were 1.2.

Not only are more older people seeking relief through bankruptcy, but they also represent a widening slice of all filers: 12.2 percent of filers are now 65 or older, up from 2.1 percent in 1991.

The jump is so pronounced, the study says, that the aging of the baby boom generation cannot explain it.

Although the actual number of older people filing for bankruptcy was relatively small — about 100,000 a year during the period in question — the researchers said it signaled that there were many more people in financial distress. -NYT

“The people who show up in bankruptcy are always the tip of the iceberg,” said Robert M. Lawless, an author of the study and a law professor at the University of Illinois.

In the Bankruptcy Project's latest study - posted online Sunday and submitted to an academic journal for peer review, studies personal bankruptcy cases and questionnaires submitted by 895 BK filers aged 19 through 92. 

The questionnaire asked filers what led them to seek bankruptcy protection. Much like the broader population, people 65 and older usually cited multiple factors. About three in five said unmanageable medical expenses played a role. A little more than two-thirds cited a drop in income. Nearly three-quarters put some blame on hounding by debt collectors.

The study does not delve into those underlying factors, but separate data provides some insight. The median household led by someone 65 or older had liquid savings of $60,600 in 2016, according to the Employee Benefit Research Institute, whereas the bottom 25 percent of households had saved at most $3,260. -NYT

Meanwhile, by 2013 the average Medicare beneficiary's out-of-pocket health care expenses ate up around 41% of the average Social Security payment, according to the Kaiser Family Foundation. 

Moreover, more people are entering their senior years in debt. For many, that means a mortgage - roughly 41% of senior debt in 2016, which is nearly double the 21% rate from 1989, according to the Urban Institute. 

Perhaps not surprisingly, the lowest-income households led by individuals 55 or older carry the highest debt loads relative to their income. More than 13 percent of such households face debt payments that equal more than 40 percent of their income, nearly double the percentage of such families in 1991, the employee benefit institute found. -NYT

What isn't helping is that many older parents report that helping their children contributed to their bankruptcies. Seattle bankruptcy attorney Marc Stern says he's seen parents co-sign loans for $10,000 or $20,000 for their kids, only to find themselves on the hook when their offspring couldn't service the debt. 

“When you are living on $2,000 a month and that includes Social Security — and you have rent and savings are minuscule — it is extremely difficult to recover from something like that,” he said.

Others parents had had co-signed their children’s student loans. “I never saw parents with student loans 20 or 30 years ago,” Mr. Stern said.

It is not uncommon to see student loans of $100,000,” he added. “Then, you see parents who have guaranteed some of these loans. They are no longer working, and they have these student loans that are difficult if not impossible to pay or discharge in bankruptcy, and these are the kids’ loans.”

CEO of Elder Law of Michigan, Keith Morris, said that bankruptcy was a hot topic among callers to a legal hotline he established for older adults. 

“They worked all of their lives, and did what they were supposed to do,” he said, “and through circumstances like a late-life divorce or a death of a spouse or having to raise grandkids, have put them in a situation where they are not able to make the bills.”

Comments

Juggernaut x2 monk27 Mon, 08/06/2018 - 20:38 Permalink

That's weird because the Baby Boomers I see are all living the High Life- new houses, boats, Vettes, etc. My parents retired to Knoxville and every one of the lake homes there are owned by Baby Boomers. My mother-in-law lives in a Del Webb community here in IL and it is packed with them- fat and sassy and not a care in the world- of course, a lot of them are .gov retirees. They are kind of like locusts- stripping the land and leaving a desert in their wake.

In reply to by monk27

Free This toady Mon, 08/06/2018 - 20:50 Permalink

Sucks to work all your life and pay into a corrupt system and what are you left with foreclosure and bankruptcy.

I am a boomer and have had many dicey times, had to remake myself several times over, but all my 401k is gone when I lost a job back in 2012, and I have only my house and a small business, I probably will meet the same fate. Being the youngest of the boomers, I missed the gravy train and SS is not even a guarantee!

Who knows what the future holds, if one did, a gazzillion awaits you!

In reply to by toady

MK ULTRA Alpha D503 Mon, 08/06/2018 - 23:51 Permalink

I've detected hyper inflation, greed inflation is hitting 50% to 100% in the last six months. The reason, it's because more people are working than in the history of our nation. It allows rents to be raised, food costs to be increased. It's greed on steroids.

Rage against the Machine- Sleeping Now in the FIRE.

https://www.youtube.com/watch?v=w211KOQ5BMI

Since this music video, 10% own 90$ of the economy.

https://www.usatoday.com/story/money/2018/01/22/vast-majority-new-wealt…

In reply to by D503

MK ULTRA Alpha MK ULTRA Alpha Tue, 08/07/2018 - 00:42 Permalink

Another good point, the government is desperate for money. For many years, the inflation rate was kept low by changes in how the CPI rate was measured. So there would be no increase for inflation for salaries and social security paid to seniors.

The only place the government can find money is social security. So for baby boomers, there is going to be a cut in social security and a possible default on social security. See, the government IOUs held by social security pays social security interest. Many on both sides of the left right paradigm in congress plan to reform social security. This has been talked about in detail.

Soon if you're young and working, one will not pay social security. It's to be abolished. Corporate America must match your contribution. They hate doing it and it's their life long struggle to abolish it with meme propaganda.

The federal government is not willing to abolish redundant agencies doing the same function at the state level. And have we seen a RIF, reduction in force of the bloated federal work force? no. They're saying to baby boomers we're going to throw you under the bus before we give up control.

We just cut an emergence check for Israel of around a billion for more missiles for Israel. And who knows how much is being spent on Israel Command, with the new US Army base. Also can you remember the insane speech by the US Air Force General in Israel turning his command over to an Israeli General. That's a court martial offense.

The top officers are screened by congress for rank to be loyal to Israel over America. It's now a mercenary military loyal to money and loyalty to Israel over America will earn rank. Bill Kristol wrote during Bush II, we must ferret out all officers in the Pentagon who aren't loyal to Israel. Bill Kristol during Bush II made a speech at the LBJ School of Public Affairs, he said to the students wouldn't it be good if all money and knowledge was at the top, one student stood and said this is wrong. Two redneck UT police jumped on the kid and dragged him out. Bill Kristol working with Cheney wrote PNAC.

We have to borrow the money to give to Israel.

And don't forget Senator Feinstein who funneled billions to her billionaire husband and his cabal of Jewish billionaires. This was proven by Judicial watch and an investigative reporter. She had to resign the sub committee.

And don't forget the confiscation of money with ERAD machine. It's a known fact it's still being used by police nationwide. Even Sessions wanted to continue confiscation at the federal level, congress voted no. But it's still going on at the federal, state, county and city level.

For the television Ziobots, all of this data is out in the open. And now the baby boomers who many of you are who profess Israel First over America, are getting your head handed to you by your Jews at all levels of our nation.

Look at the cans in your pantry, a circle with a U means Union of Orthodox rabbis. It's an extortion racket. Also a K, it's the Kosher tax. An average family of four pay a tax to the Jews of well over $200 a year just to eat. It's now non-food items and the trucking firms are taxed.

We've been bled Kosher and there is more on the way. How many brainwashed Ziobots are on here always attacking those who tell the true? They're mentally ill brainwashed to help destroy their own country. Just like the mercenary military, they are no longer Americans.

In America the truth is enemy number one.

In reply to by MK ULTRA Alpha

jin187 MK ULTRA Alpha Tue, 08/07/2018 - 03:29 Permalink

If we were giving Israel a billion dollars a day, it wouldn't even be enough to service the debt.  Joke QE IOU's.  Fuck, send them a trillion a day.  Might as well put Mugabe's face on those trillion dollar bills.  People will keep taking those trillion dollar bills at face value, too, cause we got bombs n' shit.  Better keep loading those oil barrels and iPhones on the ship, unless you want us to free the shit out of you, all over the walls of that crater that used to be your sheet metal house.

In reply to by MK ULTRA Alpha

MK ULTRA Alpha jin187 Tue, 08/07/2018 - 05:21 Permalink

Please don't use the "we", if a national vote were taken, the Americans would vote Israel off the island.

LOL thanks for proving my point. It's like LaughterNYC who was advocating the other day to not treat cancer patients to save money. It's an inbred homosexual Jew in NYC.

And you're posting each night here in the US?

We have another one who calls for Americans to be genocided. He would do it over and over. I would post you're in Israel, and you're one of the 20% of the Israeli population of Russians, I asked where are you posting from, an old poster came on, never seen him before, he posted the word Israel.

What country are you posting from? You've proven you're a hard core Israel First over America.

The people of my country have suffered at the hands of the Jews since I was a child. When you're choking your guts out in a ditch, remember I told you so.

Again, many times now, you have proven your contempt for America, but you always support Israel. Thanks again for proving point.

In reply to by jin187

MK ULTRA Alpha MK ULTRA Alpha Tue, 08/07/2018 - 05:59 Permalink

The Yoke of Zionism will be removed from the neck of America. We must cleanse the soul of our nation with the blood of the enemy and our enemy is Zion.

Zionist Christians are hard core traitors to our nation. It's a racial caste system started by the KKK after the killing of Kennedy. It means Jew on top, whites, and blacks on the bottom.

It is used in the south to justify the robbing of the city's taxes to keep the money in white hands. It has caused blacks and working poor whites to remain in abject poverty since the Civil War. Even today, it is a known fact, black children are not taught to read. But it is always blamed on the blacks, but never is the truth told.

This is not America, it's the most extraordinary evil nation in the history of man kind.

It's real funny the Zionist Christians who are not Christians supported the genocide of Syrian Christians who were the first Christians. "We" the US, Israel, Saudi Arabia and Qatar funded and organized the genocide of well over 500,000 Syrian Christians out of over 2,000,000. The numbers of those who were killed is much higher, because Syrian Christians have not shown up in any refugee numbers, they were being beaten to death in refugee camps and have mostly disappeared. The number for the Syrian genocide comes from a pro-Israel Syrian from his apartment in London.

General Flynn told about what was happening behind the curtain, he was crucified by Zionist FBI.

Zionism has done a number to America, and the young people are demanding we remove the Yoke of Zionism from the neck of America.

In reply to by MK ULTRA Alpha

MK ULTRA Alpha finametrics Tue, 08/07/2018 - 09:18 Permalink

The reason I keep posting Rage Against the Machine is to let everyone understand what is in a good portion of the minds of America's youth.

No one who wants to be free should listen to TV, young people can easily see MSM lies. It's because MSM is out of sync with young people's minds because young people have developed a hybrid mind, refusing the forced development of the hive mind.

The hybrid mind is well educated.

There are Khazar Gypsy Jews all over the government and inside the government with their neocon dogs, have told us many times they're developing a chip for the brain. It's touted as so wonderful to erase our memory and replace it with a new memory. DARPA has let many contracts to universities for research for the brain chip. This chip will be used to connect us to the internet. It will be so wonderful to have wifi internet pumped into our brains, imagine the freedom, this is what the Jews are saying and they're lying and I can't see and the young people can't see how this is now in our face and nothing is done to stop it.

When I ran CIA cab, a Behavioral Research Laboratory, I met veterans who would talk to me and then go off in a fear rant of, I'm not going to let them chip me. I thought sure, however I never discount what one says until I track the equation to the end to prove it's true or false. It is my honor.

I now know, the brain chip was developed under the cover of PTSD spending. I remembered years ago, I read an article in 2009, about how good it will be, to be able to remove a bad memory and replace it with a new memory. Well it's been proven on unauthorized experiments on poor souls too young to understand.

The Jews at the VA are ruthless hateful people, I know this from experience. Each time I had contact with a Jew was the same pattern. I thought I was being tested if I would go off or not. No it was a Jew racket of the secret button. If a VA worker can get you to go off, the silent alarm alerts VA police. They will enter the office throw you down and then it's the VA employee's word against you, well they get money from the VA slush fund, paid time off, and slush fund payments are up to a million with zero real investigation. This didn't happen to me, but I wanted to understand why a Great Warrior of the American people and many other veterans were treated worse than anyone in our nation by Jewish workers at the VA and there are many.

See I know I will never receive proper medical care from a VA, so I periodical go to monitor the evil. (I went one time after I failed the IBM physical and I have failed other physicals, IBM told me you need to see a doctor now. So I went, I have the lab results record from years back, I got my record around a year an a half ago. I decided to put the lab code in Google. It came back with over 50K hits, agent orange. The VA lies as principle.)

In Portland VA which I messed around with them for a month, was the same crap, I had Jews attack me again, I decided to begin espionage operations on the VA with a CIA cab. I would take veterans to the VA hospital and specimens to the lab paid for by VA. I would question veterans and on specimens runs I would go through everything methodically. I would meet women who came with their husbands and asked why are all these women going with their husbands, they would say, and each one I asked would say, if I don't go in there with him, they will kill him. That's the God's truth.

Then I found out about the brain chip, it's true and Israeli doctors from the IDF were well represented at the VA. So the Jews used veterans, young kids with no education were used by the Jews as guinea pigs for a mind control brain chip. When veterans told it, they were dismissed as being insane by the VA. Today they're putting it in our face and no one questions it.

We're being destroyed internally by these people who call themselves Jews. Soon a brain chip with a false memory will be the law of the land.

The USA is in a multidimensional killing field. It started in the fall of 2006, and since that time this nation has been moving into the killing field. There is no way this nation can get out of the killing field.

God no longer looks with favor on this nation. period.

Remember I told you, God is maneuvering the USA into the most sophisticated killing field in the history of mankind.

In reply to by finametrics

STP MK ULTRA Alpha Tue, 08/07/2018 - 12:03 Permalink

MK Ultra, I've been researching this for years.  If you want to see scary, check this out.  It's all out in the open, but you have to know, where and how to find it.  This all done with Carbon Nanotube technology.  Head mounted, with multiple nano tube arrays that drill down into the brain.  

(take a look at the illustrations, while you're at it...)

_____________________________________________________________________________________________________

https://web.stanford.edu/~shenoy/GroupPublications/GiljaEtAlCONB2010.pdf

Drill down a couple of pages and study the images carefully.

Recent technological advances have led to new light-weight battery-operated systems for electrophysiology. Such systems are head mounted, run for days without experimenter intervention, and can record and stimulate from single or multiple electrodes implanted in a freely behaving primate.

________________________________________________________________________________________________________

 

https://www.ncbi.nlm.nih.gov/pubmed/25014785

Optical neural interfaces

Abstract

Genetically encoded optical actuators and indicators have changed the landscape of neuroscience, enabling targetable control and readout of specific components of intact neural circuits in behaving animals. Here, we review the development of optical neural interfaces, focusing on hardware designed for optical control of neural activity, integrated optical control and electrical readout, and optical readout of population and single-cell neural activity in freely moving mammals.

_____________________________________________________________________________________________________

https://www.ncbi.nlm.nih.gov/pubmed/24776634

Chronic, wireless recordings of large-scale brain activity in freely moving rhesus monkeys.

Abstract

Advances in techniques for recording large-scale brain activity contribute to both the elucidation of neurophysiological principles and the development of brain-machine interfaces (BMIs). Here we describe a neurophysiological paradigm for performing tethered and wireless large-scale recordings based on movable volumetric three-dimensional (3D) multielectrode implants. This approach allowed us to isolate up to 1,800 neurons (units) per animal and simultaneously record the extracellular activity of close to 500 cortical neurons, distributed across multiple cortical areas, in freely behaving rhesus monkeys. The method is expandable, in principle, to thousands of simultaneously recorded channels. It also allows increased recording longevity (5 consecutive years) and recording of a broad range of behaviors, such as social interactions, and BMI paradigms in freely moving primates. We propose that wireless large-scale recordings could have a profound impact on basic primate neurophysiology research while providing a framework for the development and testing of clinically relevant neuroprostheses.

 

 

_________________________________________________________________________________________________________

 

 

In reply to by MK ULTRA Alpha

GunnerySgtHartman MK ULTRA Alpha Tue, 08/07/2018 - 11:28 Permalink

In your USAToday article, Oxfam nailed the cause when it said that massive inequality is driven by financial returns.

We didn't have this level of inequality before the US went off the gold standard and financialization of everything became the order of the day.  Thanks to Nixon's elimination of the gold standard, household debt has never been higher.  Inflation-adjusted household income is lower now than it was before we went off the gold standard in 1971.  Wanna keep up with the Joneses?  Just borrow some money!  Wanna go to a hyper-expensive college?  No problem - the government will loan the money to you!  So is it any coincidence that things are the way they are?

Furthermore, the downward manipulation of interest rates and the meddling in financial markets by the central bank "wizards of smart" have punished the saver class and pension fund participants.  Much, if not most, of the retiree class has long depended on income from interest-bearing savings to make ends meet, and the central banks have gutted those income vehicles.  To be fair, some of the pension funds - like the multi-employer pension funds run by unions - screwed themselves over by increasing benefits paid while refusing to increase contributions, an unsustainable situation in any case.

The cause of these problems is evident for anyone who wants to see it.  A return to a standard for money and the elimination of central banks would solve most of these problems.

In reply to by MK ULTRA Alpha

MK ULTRA Alpha GunnerySgtHartman Tue, 08/07/2018 - 14:18 Permalink

I predicted on ZH silver will head lower from around $16.80, the reaction was usual for those holding and buying. The reaction was real strong. It's done what I said, but it hasn't broken into $14. When it hits that range buy all the way down. You will not be sorry. I'm detecting hyper inflation in food items which shouldn't be happening, hyper inflation mode is much too early. It's greed inflation.

The Fed must remove liquidity through open market operations, raising rates is wrong at this time. The Fed must sell off it's balance sheet faster to remove liquidity.

Good Luck

In reply to by GunnerySgtHartman

glenlloyd D503 Tue, 08/07/2018 - 00:38 Permalink

People had to know this was coming. With the extent to which boomers spent (like there was no tomorrow) and financed everything they purchased there was no doubt in my mind that eventually it would all catch up to them and the resolution? Viola! Bankruptcy!!!

They spent too much and borrowed almost all of it and it's no wonder now they're retiring and the house isn't even paid off!!

Their behavior was completely contrary to how they should have done it, instead of spending like a drunken sailor they were supposed to keep their heads down and 1) pay off the house and 2) stick money away for retirement and what did they do? They collected things (that now aren't worth squat) and borrowed to ride Harleys (or whatever), bought a new car every three years (fully financed) and the house still isn't paid off nor is there any cash socked away for retirement.

This all comes from wanting to present an outward appearance of being successful or having money, which they really didn't ever have. FFS people stop pretending you're something you're not, how's that gonna work when you're under the bridge at the hobo camp with a bottle of Ripple? I can tell you no one is going to believe it...

I've never heard of someone retiring before the house is at least paid off, how does one do that if they have no income? FFS people you lived a privileged life and now you're out of money.

Ya'll know this is gonna put a big burden on the social safety net....big time burden. And the boomer gen is a huge bulge in the system too...

In reply to by D503

Sach Mahoney D503 Tue, 08/07/2018 - 08:57 Permalink

I guess Libtards can be pleased that these people who filed for bankruptcy "paid their fair share"....and what to do with the baby-boomers millennial kids and/or grand kids who wouldn't move out, just ate their parents / grandparents food, drove their cars, lived in their home...mooched off them for decades, I guess those "basement" kids need to find a new host to latch on to, the U.S. Government.  

In reply to by D503

nmewn NidStyles Mon, 08/06/2018 - 22:23 Permalink

Thats what I always say. Can't they just mail me the damned check/trophy instead of me putting in all those hours and sweat?! I mean, that fucking sucks!

It's not like I live in Juggernauts x2's mommy's basement where the lights are always on, the internet is Faaarrreee!, the meals are hot & fresh and my damned laundry is always clean and put away for me just the way I want it ya nooowah! ;-)

In reply to by NidStyles