Gen Xers nearing retirement: Here’s how to prepare

Gen X, born between 1965-1980, is something of a forgotten generation, a bridge between the larger boomers and millennials.

The oldest Gen Xers turn 60 this year and the youngest are around 45. Their time is nearing for saying goodbye to colleagues for the last time.

Surveys show Gen Xers are downbeat about their prospects in retirement. Finances are strained for those taking care of both children and aging parents. The generation has accumulated more credit card and student loan debt than other generations. They joined the workforce when companies pulled away from pensions and embraced riskier 401(k)s (that is, riskier to the saver). The number of large companies offering retirees health insurance has shrunk dramatically.

To better prepare for retirement, Gen Xers can profitably consult “Retirement Bites: A Gen X Guide to Securing Your Financial Future” by Kerry Hannon and Janna Herron. Their book is a practical retirement-planning guide for Gen Xers still in the earnings prime of their careers.

The data also shows Gen Xers are doing better on average than conventional gloom suggests. Planning makes a difference.

“Taking control of your finances now allows you to build a rewarding future,” they wrote. “You can finally look forward to the years to come instead of covering your eyes.”

The book deals with the basics well. Among the topics covered: The nuts and bolts of retirement savings and investing; the wisdom of hiring professional help for guidance; insights on working longer to boost finances; ways to deal with rising health care costs; and much more. (Full disclosure: Hannon and I often exchange ideas about aging and retirement.)

The authors offer concrete suggestions on how to generate insights by creating a vision board and a mind map, as well as offering lists of thoughtful questions to spur you to think about what matters.

“The design we are going to dig into here will encourage you to look at living in retirement, not how you pay for it,” they wrote.

Once you’ve landed on a vision, or visions, the rest is tactics and strategy to support your purpose. The information you need is in “Retirement Bites.”