A 63-year-old peak boomer is 'incredibly scared' Social Security won't be enough to cover her expenses in retirement: 'I'll probably need to work until I die'

• Diane Senffner, 63, lost her job during the pandemic and ran through her savings.

• She's struggled to land a full-time job since and doesn't think she'll ever be able to retire.

• She's part of the "peak boomer" cohort, most of whom will rely on Social Security in retirement.

Diane Senffner, 63, doesn't see retirement on the horizon anytime soon.

Before 2019, Senffner owned a small business focused on learning and development, and she said she was able to earn sufficient income through her business to afford her everyday expenses — and then some.

But when the pandemic hit, she was forced to shut down her business, and she couldn't find any source of income for about two years. This forced her to take money out of her 401(k) and savings account because her husband's salary was not big enough to fully support both of them.

Now, Senffner has no money in savings — and she doesn't see her situation improving by the time she's set to retire in just under two years. (Business Insider reviewed documents from Senffner to confirm this information.)

"I'm between contract jobs, and I have no savings," Senffner told BI. "I was somebody who did really well, and it's very disheartening because I have no idea what's going to happen with retirement. My husband and I are both a year and a half from retirement age, but I think I'll probably need to work until I die because there's no money."

Senffner is part of a cohort known as "peak boomers," or boomers born between 1959 and 1964 who will start turning 65 this year. A recent report from the Alliance for Lifetime Income's Retirement Income Institute found that this group includes over 30 million boomers, marking it the "largest and final cohort" of that generation entering retirement.

The report found that 52.5% of peak boomers have $250,000 or less in assets, which could force them to deplete their savings and rely on Social Security benefits to stay afloat in retirement. But Senffner said that the around $1,800 she would get from Social Security each month wouldn't cover her rent, groceries, and prescriptions, and she anticipates she'll have to continue working to supplement the benefits.

"It's simple math," she said. "You're talking about retiring, needing about $4,000 a month, at least, just to cover expenses. Just Social Security isn't going to cover that."

Many older Americans are grappling with the same problem. According to the Census Bureau's Current Population Survey, just over half of Americans over 65 have an annual income of $30,000 or less, meaning that existing only on Social Security likely won't cut it.

And with the Social Security fund set to dry out by the late 2030s unless lawmakers intervene, Senffner is "incredibly scared" about her future.

"The expenses are enormous," she said. "To be a contractor, I have to have internet. I have to have a cellphone. I have to have an office, which I can still deduct from my taxes, but in the immediate, I have to pay for those things."

'Everybody my age is a little worried right now'

While Senffner has years of experience in the workforce, she hasn't been able to land full-time work despite applying for dozens of jobs. The only full-time jobs she's seen have tended to be more physically demanding, such as working at a grocery store, which she's unable to do.

She said that many of her peers are struggling with the same dilemma — they either can't find work in fields they're qualified for or they have to work a low-wage, entry-level job.

"The only people that are hiring older people now are places like Home Depot and Walmart," Senffner said. "I just say to my friends as a cautionary tale, if you are my age and you have a job, you better stay with it, because nobody is hiring you."

According to an October post from the AARP, "age discrimination often prevents older adults from landing jobs at the same level as their recent employment or higher." The AARP also referenced a September survey from The Harris Poll that found 60% of hiring managers prefer hiring older candidates over younger ones for entry-level positions because they tend to be more reliable.

Still, with the low wages and sometimes physical demands of entry-level work, it's often not an option for those close to retirement. AARP recently released the results of a January survey that found one in five older adults do not have any retirement savings, and over half of them don't think they'll have enough money to get them through retirement.

"Everybody my age is a little worried right now," Senffner said.

"I know so many people my age that just don't know what they're going to do," she continued. "Other countries take care of their older people, and we should be able to do it, too."

Are you worried about retirement? How are you preparing? Share your story with this reporter at asheffey@businessinsider.com.

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