Older Adults Projected to Outnumber Children

In just 12 years, and for the first time ever, Americans 65 and older are likely to outnumber those under 18. In 2030 all surviving members of the massive Baby Boom generation will be over 65, making that year a major demographic turning point. By 2035, the Census Bureau projects there will be 78 million people 65 and older versus 76.7 million under the age of 18.

What this means for gift planners

Perhaps more important than the youngest Baby Boomers turning 65 in 2030 is that the oldest Boomers will reach the age of 84, the average age when bequest donors pass away. The youngest Boomers, born in 1964, will be 66. Long-standing predictions of the “Great Wealth Transfer” should finally come to fruition as the bulk of the older Baby Boomer population passes away between 2030 and 2055.

With growing numbers of Boomers entering the third phase of life, it will be critical to balance current and deferred gift communications in a fashion that makes sense to the recipients. Discussions with donors should begin to move beyond current gifts toward the concept of blended gifts that may well include both a current and deferred gift component as part of the donor’s philanthropic planning. Managing the inevitable donor “downgrade” and “de-acquisition” process will entail strategies such as recognizing a donor’s length of support and cumulative giving levels as well as an exit strategy for monthly giving and major gift programs.

If you would like to discuss ways to optimize a senior strategy to deal with the young old (65-74), older old (75-84) and the oldest old (85+), call your SHARPE newkirk consultant at 901.680.5300 or email us at info@SHARPEnet.com.

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