Here's what is coming: the old woman will live in a shoe box. You all think I am kidding. I'm taking the Mother Goose rhyme into 2026 and beyond.
The fastest growing homeless population is the elderly (dare I say Boomers). Why? I could talk for hours on it as the reasons are complex, but some of it boils down to this. We are now reaping the seeds sown in the 1980's Reaganomics era where unions were demolished. Prior to the 1980's employers offered defined benefit pensions which guaranteed income for life unlike defined contribution plans that are finite. When the Reganomics hit it was sold to the people that unions were not needed. Put the pension money on the check NOW and people can invest for their own pension. Who needs unions? Americans are independent! We can plan for our own futures! GIMME MONEY NOW!
Boomers bought it hook, line, and sinker. Boomers loved the huge paychecks and spent themselves into a tizzy with large houses, cars, boats, trips, etc. Did they save for their retirement? Nope. Now their toys have long depreciated to being valued worthless and left Boomers with zero savings and mounting credit card and medical debt. They have reverse mortgages on their homes because they can't come to terms that their lifestyle is not sustainable and refuse to face reality.
The Boomers' reverse mortgages are coming due. Boomer has walked through all of his money. Now Boomer needs to move somewhere....but WHERE? Boomer is now in declining health, does not have any money, and the bank is about to retake the house leaving Boomer with negative equity. Yup. The longer Boomer stays in the house, the more he will owe.
Boomer has zero money and zero savings. Boomer can't keep up with rising prices. Boomer needs to sell his home, but finding another place to live is proving challenging and expensive. Next thing you know Boomer is facing eviction and is now without a home. Where will all of these elderly and broke people live? Who will take care of them?
Which brings me back to the beginning: There was an old woman who lived in a shoe....box.