Car Wash - Fall 2016 - 68


ELDER ENTREPRENEURS STILL
INVESTING IN THEIR FUTURES
Contrary to the popular notion
that tech-savvy millennials are
the ones most likely to take a risk
and start a new business, a 2015
report by the nonprofit Kauffman
Foundation found that baby
boomers were about twice as
likely as millennials to create
a startup.

Marc Miller, the author of
Repurpose Your Career: A
Practical Guide for Baby Boomers,
said many baby boomers were
forced to explore entrepreneurial
options after being laid off during
the Great Recession and finding
that many businesses were more
likely to higher younger workers at
lower salaries to replace them.
Additionally, baby boomers are
finding that their retirement
savings are unlikely to last several
decades, but they do offer enough
capital to open a small business
that, if successful, could provide
the additional income they need
throughout retirement. And for
some boomers, a new car wash
might be just the right opportunity.

their current standard of living throughout
their retirement.
While it seems logical to blame the
Great Recession for forcing baby boomers
to delay retirement, a number of societal
trends have played bigger roles, said Nancy
S. Ahlrichs, a business-development consultant with the Indianapolis-based firm
FlashPoint and the author of "Igniting
Gen B & Gen V: The New Rules of
Engagement for Boomers, Veterans, and
Other Long-Termers on the Job." Among
these trends is the fact that people today
are living longer than their parents did,
which means retirement savings have to
last longer.
According to a 2014 report from the
Census Bureau, the average 65-year-old
American man can expect to live another
17.7 years, and for women, that figure is
20.3 years. That's a gain of about four years
over the previous generation of Americans
who made it to age 65. And baby boomers

68

"We are starting businesses at a
much higher rate than any other
generation right now," Miller said.
"Everyone says the millennials
are the new entrepreneurs, but
what we're seeing with boomers
is if you're sitting with $100,000
in your 401(k) or IRA, that's not
going to get you very far into
retirement, so what you do is you
buy a franchise, especially since
the values of small businesses
are finally returning to pre-Great
Recession levels."
A 2015 poll by Gallup found that
the leading reasons boomers
say they started their business
are because it
allows them to be
independent (32
percent), pursue
their interests
and passions
(27 percent) or
increase their
income (24
percent).

are less likely than their parents to have
pensions that last until death.
Instead, baby boomers are likely to
have 401(k) retirement plans, which often
are inadequately funded, Ahlrichs said.
According to the annual report by the
financial-services provider Vanguard titled
"How Americans Save 2016," the average
American worker age 55 to 64 has a 401(k)
balance of just $177,805, which is unlikely to
adequately fund a long retirement. At a withdrawal rate of 4 percent a year, those retirees can expect less than $10,000 in annual
income from their 401(k) accounts over 30
years even when gains in those investments
are factored in.
Additionally, boomers are being weighed
down by debt much more than their parents
were. The University of Michigan Health
and Retirement Study found that in 2012,
44 percent of adults 65 or older were in debt,
up from 30 percent in 1998, and the median
amount they owed was $24,500.

CAR WASH MAGAZINE | WWW.CARWASH.ORG |

FALL 2016

"Boomers generally did not have the same
attitude about debt in their younger years
that their parents did," said Ahlrichs. "A large
part of their retirement income is going to be
devoted to paying off that debt in addition to
living expenses. Throughout their adult lives,
boomers have carried more debt than any
other generation, so it's not surprising that
boomers have some debt going into retirement, which is another motivator to keep
on working."

THE NEST ISN'T EMPTY

Other reasons why boomers are delaying
retirement include the need to provide for
grandchildren and the fact that parents
increasingly have adult children living with
them. According to 2010 Census data, 4.9
million American children are being raised
solely by their grandparents, up from 2.4
million in 2000.
Meanwhile, the Pew Research Center
reported in May that 32.1 percent of
Americans ages 18 to 34 were living with
their parents, largely because of insufficient
wages or underemployment. That marked
the first time in 130 years of data that more
Americans in that age group lived with
their parents than with a spouse or partner.
"The great recession hurt every generation,
but if you combine it with some other trends
facing baby boomers, it really accentuated
this need to keep on working," Ahlrichs said.
All this data points to one simple fact:
Many baby boomers are finding that they
are a lot farther from retirement than they
thought they'd be at this age. A report
released in May by the Insured Retirement
Institute found that 60 percent of baby boomers now expect to retire at age 65 or older,
including 26 percent of boomers who expect
to retire at age 70 or older. In 2011, only 17
percent of boomers expected to work into
their 70s.
The Pew Research Center found that
boomers work in the various sectors of the
U.S. economy in broadly similar patterns
as the larger workforce with a few notable
exceptions. For example, only 3.4 percent of
boomers work in the accommodations/foodservice sector, compared with 7.1 percent of
all workers. Boomers are more likely to be
in management or legal and community/
social service occupations than the overall workforce and are less likely to be in
computer, mathematical and constructionrelated occupations.


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Table of Contents for the Digital Edition of Car Wash - Fall 2016

Letter from the ICA
By the Numbers
Overheard Online
Shifting gears: Predictions in a growing industry
7 business trends to leverage in 2017
First ever full-service fueling
Coming clean on property taxes
3 global talentmanagement trends every manager should understand
The psychology behind purchasing
Are on-vehicle cameras a concern for car washes?
Working overtime
Randy Shick finds perfect fit in the car wash industry
Creating and cultivating loyalty
Inspiring people to shine
Women in Car Washing
Take a Tour
Wash Ideas
Focus on a Member
Blast from the Past
Download It!
Marketing Minute
Ask Champ
Top Tweets
Index of Advertisers
5 Things
Car Wash - Fall 2016 - bellyband1
Car Wash - Fall 2016 - bellyband2
Car Wash - Fall 2016 - cover1
Car Wash - Fall 2016 - cover2
Car Wash - Fall 2016 - 3
Car Wash - Fall 2016 - 4
Car Wash - Fall 2016 - 5
Car Wash - Fall 2016 - 6
Car Wash - Fall 2016 - 7
Car Wash - Fall 2016 - 8
Car Wash - Fall 2016 - 9
Car Wash - Fall 2016 - 10
Car Wash - Fall 2016 - Letter from the ICA
Car Wash - Fall 2016 - 12
Car Wash - Fall 2016 - 13
Car Wash - Fall 2016 - By the Numbers
Car Wash - Fall 2016 - 15
Car Wash - Fall 2016 - 16
Car Wash - Fall 2016 - Overheard Online
Car Wash - Fall 2016 - Shifting gears: Predictions in a growing industry
Car Wash - Fall 2016 - 19
Car Wash - Fall 2016 - 20
Car Wash - Fall 2016 - 21
Car Wash - Fall 2016 - 22
Car Wash - Fall 2016 - 23
Car Wash - Fall 2016 - 24
Car Wash - Fall 2016 - 25
Car Wash - Fall 2016 - 26
Car Wash - Fall 2016 - 27
Car Wash - Fall 2016 - 7 business trends to leverage in 2017
Car Wash - Fall 2016 - 29
Car Wash - Fall 2016 - 30
Car Wash - Fall 2016 - 31
Car Wash - Fall 2016 - 32
Car Wash - Fall 2016 - 33
Car Wash - Fall 2016 - 34
Car Wash - Fall 2016 - First ever full-service fueling
Car Wash - Fall 2016 - 36
Car Wash - Fall 2016 - 37
Car Wash - Fall 2016 - 38
Car Wash - Fall 2016 - 39
Car Wash - Fall 2016 - 40
Car Wash - Fall 2016 - 41
Car Wash - Fall 2016 - 42
Car Wash - Fall 2016 - Coming clean on property taxes
Car Wash - Fall 2016 - 44
Car Wash - Fall 2016 - 45
Car Wash - Fall 2016 - 3 global talentmanagement trends every manager should understand
Car Wash - Fall 2016 - 47
Car Wash - Fall 2016 - 48
Car Wash - Fall 2016 - 49
Car Wash - Fall 2016 - 50
Car Wash - Fall 2016 - 51
Car Wash - Fall 2016 - 52
Car Wash - Fall 2016 - 53
Car Wash - Fall 2016 - The psychology behind purchasing
Car Wash - Fall 2016 - 55
Car Wash - Fall 2016 - 56
Car Wash - Fall 2016 - 57
Car Wash - Fall 2016 - 58
Car Wash - Fall 2016 - 59
Car Wash - Fall 2016 - 60
Car Wash - Fall 2016 - 61
Car Wash - Fall 2016 - 62
Car Wash - Fall 2016 - Are on-vehicle cameras a concern for car washes?
Car Wash - Fall 2016 - 64
Car Wash - Fall 2016 - 65
Car Wash - Fall 2016 - Working overtime
Car Wash - Fall 2016 - 67
Car Wash - Fall 2016 - 68
Car Wash - Fall 2016 - 69
Car Wash - Fall 2016 - 70
Car Wash - Fall 2016 - 71
Car Wash - Fall 2016 - 72
Car Wash - Fall 2016 - Randy Shick finds perfect fit in the car wash industry
Car Wash - Fall 2016 - 74
Car Wash - Fall 2016 - 75
Car Wash - Fall 2016 - Creating and cultivating loyalty
Car Wash - Fall 2016 - 77
Car Wash - Fall 2016 - 78
Car Wash - Fall 2016 - 79
Car Wash - Fall 2016 - 80
Car Wash - Fall 2016 - 81
Car Wash - Fall 2016 - 82
Car Wash - Fall 2016 - Inspiring people to shine
Car Wash - Fall 2016 - 84
Car Wash - Fall 2016 - Women in Car Washing
Car Wash - Fall 2016 - Take a Tour
Car Wash - Fall 2016 - 87
Car Wash - Fall 2016 - 88
Car Wash - Fall 2016 - 89
Car Wash - Fall 2016 - Wash Ideas
Car Wash - Fall 2016 - Focus on a Member
Car Wash - Fall 2016 - Blast from the Past
Car Wash - Fall 2016 - 93
Car Wash - Fall 2016 - Download It!
Car Wash - Fall 2016 - Marketing Minute
Car Wash - Fall 2016 - 96
Car Wash - Fall 2016 - Ask Champ
Car Wash - Fall 2016 - Top Tweets
Car Wash - Fall 2016 - Index of Advertisers
Car Wash - Fall 2016 - 100
Car Wash - Fall 2016 - 101
Car Wash - Fall 2016 - 5 Things
Car Wash - Fall 2016 - cover3
Car Wash - Fall 2016 - cover4
Car Wash - Fall 2016 - outsert1
Car Wash - Fall 2016 - outsert2
Car Wash - Fall 2016 - outsert3
Car Wash - Fall 2016 - outsert4
Car Wash - Fall 2016 - outsert5
Car Wash - Fall 2016 - outsert6
Car Wash - Fall 2016 - outsert7
Car Wash - Fall 2016 - outsert8
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