Rappaport Retirement Index 2021

Rappaport Retirement Index

January 2021 Release: Rappaport Retirement Index RRI

Consumers 62 years and older experienced benign inflation increases on both the month over month and year over year figures.

For 2013 the RRI YOY rose 1.62%
For 2014 the RRI YOY dropped 1.32 %
For 2015 the RRI YOY dropped 1%  
For 2016 the RRI YOY rose 2.33% 
For 2017 the RRI YOY rose 2.19% 
For 2018 the RRI YOY rose 2.05%
For 2019 the RRI YOY rose 2.39%
For 2020 the RRI YOY rose 1.48%

For January 2021 RRI YOY rose 1.47%

 

“Inflationary pressures moderated slightly in January coming in at 1.47% versus 1.48% in December.  Although the overall rate remains benign at 1.47%, the overall number is skewed as the declines were concentrated in Apparel which dropped -2.91% and Transportation which dropped -1.58%.  Those declines mask the real story for seniors. Seniors do not purchase clothing and gasoline as much as food, which rose 3.64%, housing costs, which rose 1.80%. Medical costs rose 1.53% which is good news for seniors. So although overall inflation remains low, for seniors, costs are rising and as most are on a fixed income, this could pose significant issues for this most vulnerable group. The bottom line is that costs for seniors continues to rise faster than for working individuals and it is very worrisome. The Rappaport Retirement Index chooses not to break out food and energy to provide a core rate. The purpose of the RRI is to provide planning and inflation and inflation data for the real world and last I checked, senior eat and drive around so although the core rate may be good for planning as it relates to the Federal Reserve and interest rates, it does little to help financial planner help their clients plan for this extended phase of their client's financial life. “said H Craig Rappaport, creator of the Rappaport Retirement index.  
The Rappaport Retirement Index is a new inflation index for retirees released monthly to provide better financial planning replaces the CPI-U (Urban) as the main inflation tool.
Retirement Specialist and Accredited Wealth Management Advisor H Craig Rappaport, using statistical data and guidance provided by the Bureau of Labor and Statistics, releases the Rappaport Retirement Index.
For several decades, the baby boom generation has been preparing for retirement. The Rappaport Retirement Index is the first inflation index for financial planners, retirees and soon-to-be retirees needing to know how to plan and invest to create and accurately calculate their retirement income needs.
The Department of Labor has gathered inflation data for the elderly and calculated an inflation index for this group for over 25 years but does not release the results. It is called the Consumer Price Index for the Elderly. The Rappaport Retirement Index uses the data to calculate a forward looking and useful index for real people doing real planning and having to live with the consequences of their actions.
H Craig Rappaport, the author of Live Long Live Rich -Creating Your Retirement Paycheck and President of Rappaport Wealth Management, is available for interviews Specializing in retirement, Rappaport has appeared in the Wall Street Journal, Fox News, CNN Headline News, Bloomberg, The Dow Jones News Service as well as many television shows, magazines, newspapers and can be heard on the radio daily.
For questions or interviews: 1-610-293-8005 or at Craig@rappaportwealth.com