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This is horrible. A few years ago I realized my parents were way behind on savings and just incessantly nagged them until they got on a good plan. They kicked a

This is horrible. A few years ago I realized my parents were way behind on savings and just incessantly nagged them until they got on a good plan. They kicked and screamed the whole time ("You're our son. You can't tell us what to do."), but it's turned out to be one of the best decision I ever made. Next year they are actually going to retire. I dunno what I'd do if they had to work at Wal-Mart just to make ends meet. Recently, I made this visualization of how US social security benefits are calculated: https://lewis500.github.io/socialsecurity https://lewis500.github.io/socialsecurity Before I made it I actually had no idea. I think I might have worked a little harder to earn money when I was younger if I'd understood.

bagels 9y ago
Would be nice if the birth year were adjustable.
- microcolonel 9y ago
  If you're willing to risk jail time, it can be. :- )
- robert_foss 9y ago
  Or even better, birth place!
- lewis500 9y ago
  I thought about that but it makes the visualization much more complicated and, moreover, would require forecasting wages way out into the future to be relevant to a millennial. If you had tried to do some wage forecast in 1970 you would've gotten things very wrong, so maybe the same is true today. One day I will add this feature but not soon.
danvayn 9y ago
Thanks for this! As a young guy I had absolutely no idea what social security checks entailed.
sjg007 9y ago
It’s going to get a lot worse.
chowyuncat 9y ago
How were they able to catch up in just three years?
- lewis500 9y ago
  By "a few years" I mean about ten or eleven years ago. Fortunately, that means they bought most of their stocks since 2008 and have gotten great returns. They were also fortunate to buy a house in a good neighborhood during the bottom of the slump, and to live in a cheap state. So they can sell their house and almost pay cash for a modest house a little further out from the city. Fortunately, the city has relatively low traffic so even in the country they can get to a great hospital within 20 minutes. The state also has basically no property tax for seniors, which I think is questionable policy but very good for them. They aren't wealthy by any means, like the retirees out here in California who have a million dollars (or several). But between their stocks, the home equity, the two social security checks and a small pension my dad got from spending time at a job at the city government they'll be alright.
  - gedy 9y ago
    Good for them, but do you see how this is essentially a gamble? Had they done the same 5-6 earlier they'd have lost a lot in both investments and real estate in 2008.
    - snuxoll 9y ago
      Recessions like 2008 are part of the normal ebb and flow of the markets, and we're likely heading into another one (though hopefully not quite so bad). 5-6 years earlier wouldn't have made a noticeable difference unless they were planning on retiring between 2008-2012ish, the markets have recovered after all. Personally, if I see the stock market dip like that again I'm going to double down on my 401(k) contributions.
      - njarboe 9y ago
        Historically, timing the dips does not work out, but maybe if everyone is thinking that way the strategy could work.
sizzle 9y ago
You are a great child.

bagels 9y ago

Would be nice if the birth year were adjustable.

microcolonel 9y ago
If you're willing to risk jail time, it can be. :- )
robert_foss 9y ago
Or even better, birth place!
lewis500 9y ago
I thought about that but it makes the visualization much more complicated and, moreover, would require forecasting wages way out into the future to be relevant to a millennial. If you had tried to do some wage forecast in 1970 you would've gotten things very wrong, so maybe the same is true today. One day I will add this feature but not soon.

danvayn 9y ago

Thanks for this! As a young guy I had absolutely no idea what social security checks entailed.

sjg007 9y ago

It’s going to get a lot worse.

chowyuncat 9y ago

How were they able to catch up in just three years?

lewis500 9y ago
By "a few years" I mean about ten or eleven years ago. Fortunately, that means they bought most of their stocks since 2008 and have gotten great returns. They were also fortunate to buy a house in a good neighborhood during the bottom of the slump, and to live in a cheap state. So they can sell their house and almost pay cash for a modest house a little further out from the city. Fortunately, the city has relatively low traffic so even in the country they can get to a great hospital within 20 minutes. The state also has basically no property tax for seniors, which I think is questionable policy but very good for them. They aren't wealthy by any means, like the retirees out here in California who have a million dollars (or several). But between their stocks, the home equity, the two social security checks and a small pension my dad got from spending time at a job at the city government they'll be alright.
- gedy 9y ago
  Good for them, but do you see how this is essentially a gamble? Had they done the same 5-6 earlier they'd have lost a lot in both investments and real estate in 2008.
  - snuxoll 9y ago
    Recessions like 2008 are part of the normal ebb and flow of the markets, and we're likely heading into another one (though hopefully not quite so bad). 5-6 years earlier wouldn't have made a noticeable difference unless they were planning on retiring between 2008-2012ish, the markets have recovered after all. Personally, if I see the stock market dip like that again I'm going to double down on my 401(k) contributions.
    - njarboe 9y ago
      Historically, timing the dips does not work out, but maybe if everyone is thinking that way the strategy could work.

sizzle 9y ago

You are a great child.