OUR SHRINKING WORLD

March 16, 2019


We sometimes do not realize how miniaturization has affected our every-day lives.  Electromechanical products have become smaller and smaller with one great example being the cell phone we carry and use every day.  Before we look at several examples, let’s get a definition of miniaturization.

Miniaturization is the trend to manufacture ever smaller mechanical, optical and electronic products and devices. Examples include miniaturization of mobile phones, computers and vehicle engine downsizing. In electronics, Moore’s Law predicted that the number of transistors on an integrated circuit for minimum component cost doubles every eighteen (18) months. This enables processors to be built in smaller sizes. We can tell that miniaturization refers to the evolution of primarily electronic devices as they become smaller, faster and more efficient. Miniaturization also includes mechanical components although it sometimes is very difficult to reduce the size of a functioning part.

The revolution of electronic miniaturization began during World War II and is continuing to change the world till now. Miniaturization of computer technology has been the source of a seemingly endless battle between technology giants over the world. The market has become so competitive that the companies developing microprocessors are constantly working towards erecting a smaller microchip than that of their competitor, and as a result, computers become obsolete almost as soon as they are commercialized.  The concept that underlies technological miniaturization is “the smaller the better”; smaller is faster, smaller is cheaper, smaller is more profitable. It is not just companies that profit from miniaturization advances, but entire nations reap rewards through the capitalization of new developments. Devices such as personal computers, cellular telephones, portable radios, and camcorders have created massive markets through miniaturization, and brought billions of dollars to the countries where they were designed and built. In the 21st century, almost every electronic device has a computer chip inside. The goal of miniaturization is to make these devices smaller and more powerful, and thus made available everywhere. It has been said, however, that the time for continued miniaturization is limited – the smaller the computer chip gets, the more difficult it becomes to shrink the components that fit on the chip.  I personally do not think this is the case but I am a mechanical engineer and not an electronic or electrical engineer.  I use the products but I do not develop the products.

The world of miniaturization would not be possible at all if it were not for semiconductor technology.  Devices made of semiconductors, notably silicon, are essential components of most electronic circuits.  A process of lithography is used to create circuitry layered over a silicon substrate. A transistor is a semiconductor device with three connections capable of amplification in addition to rectification. Miniaturization entails increasing the number of transistors that can hold on a single chip, while shrinking the size of the chip. As the surface area of a chip decreases, the task of designing newer and faster circuit designs becomes more difficult, as there is less room left for the components that make the computer run faster and store more data.

There is no better example of miniaturization than cell phone development.  The digital picture you see below will give some indication as to the development of the cell phone and how the physical size has decreased over the years.  The cell phone to the far left is where it all started.  To the right, where we are today.  If you look at the modern-day cell phone you see a remarkable difference in size AND ability to communicate.  This is all possible due to shrinking computer chips.

One of the most striking changes due to miniaturization is the application of digital equipment into a modern-day aircraft cockpit.  The JPEG below is a mockup of an actual Convair 880.  With analog gauges, an engineering panel and an exterior shell, this cockpit reads 1960/1970 style design and fabrication.  In fact, this is the actual cockpit mock up that was used in the classic comedy film “Airplane”.

Now, let us take a look at a digital cockpit.  Notice any differences?  Cleaner and fewer.  The GUI or graphical user interface can take the place of numerous dials and gauges that clutter and possibly confuse a pilot’s vision.

I think you have the picture so I would challenge you to take a look this upcoming week to discover those electromechanical items, we take for granted, to discover how they have been reduced in size.  You just may be surprised.

 

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TELECOMMUTING

March 13, 2019


Our two oldest granddaughters have new jobs.  Both, believe it or not, telecommute.  That’s right, they do NOT drive to work.  They work from home—every day of the week and sometimes on Saturday.  Both ladies work for companies not remotely close to their homes in Atlanta.  The headquarters for these companies are hundreds of miles away and in other states.

Even the word is fairly new!  A few years ago, there was no such “animal” as telecommuting and today it’s considered by progressive companies as “kosher”.   Companies such as AT&T, Blue Cross-Blue Shield, Southwest Airlines, The Home Shopping Network, Amazon and even Home Depot allow selected employees to “mail it in”.  The interesting thing; efficiency and productivity are not lessened and, in most cases, improve.   Let’s look at several very interesting facts regarding this trend in conducting business.  This information comes from a website called “Flexjobs.com”.

  1. Three point three (3.3) million full-time professionals, excluding volunteers and the self-employed, consider their home as their primary workplace.
  2. Telecommuting saves between six hundred ($600) and one thousand ($1,000)  on annual dry-cleaning expenses, more than eight hundred ($800) on coffee and lunch expenses, enjoy a tax break of about seven hundred and fifty ($750), save five hundred and ninety ($590) on their professional wardrobe, save one thousand one hundred and twenty ($1,120) on gas, and avoid over three hundred ( $300 ) dollars in car maintenance costs.
  3. Telecommuters save two hundred and sixty (260) hours by not commuting on a daily basis.
  4. Work from home programs help businesses save about two thousand ($2,000) per year help businesses save two thousand ($2,000) per person per year and reduce turnover by fifty (50%) percent.
  5. Typical telecommuter are college graduates of about forty-nine (49) years old and work with a company with fewer than one hundred (100) employees.
  6. Seventy-three percent (73%) of remote workers are satisfied with the company they work for and feel that their managers are concerned about their well-being and morale.
  7. For every one real work-from-home job, there are sixty job scams.
  8. Most telecommuters (53 percent) work more than forty (40) hours per week.
  9. Telecommuters work harder to create a friendly, cooperative, and positive work environment for themselves and their teams.
  10. Work-from-home professionals (82 percent) were able to lower their stress levels by working remotely. Eighty (80) percent have improved morale, seventy (70) percent increase productivity, and sixty-nine (69) percent miss fewer days from work.
  11. Half of the U.S. workforce have jobs that are compatible with remote work.
  12. Remote workers enjoy more sleep, eat healthier, and get more physical exercise
  13. Telecommuters are fifty (50) percent less likely to quit their jobs.
  14. When looking at in-office workers and telecommuters, forty-five (45) percent of telecommuters love their job, while twenty-four (24) percent of in-office workers love their jobs.
  15. Four in ten (10) freelancers have completed projects completely from home.

OK, what are the individual and company benefits resulting from this activity.  These might be as follows:

  • Significant reduction in energy usage by company.
  •  Reduction in individual carbon footprint. (It has been estimated that 9,500 pounds of CO 2 per year per person could be avoided if the employee works from home.  Most of this is avoidance of cranking up the “tin lezzy”.)
  • Reduction in office expenses in the form of space, desk, chair, tables, lighting, telephone equipment, and computer connections, etc.
  • Reduction in the number of sick days taken due to illnesses from communicable diseases.
  • Fewer “in-office” distractions allowing for greater focus on work.  These might include: 1.) Monday morning congregation at the water cooler to discuss the game on Saturday, 2.) Birthday parties, 3.) Mary Kay meetings, etc etc.  You get the picture!

In the state where I live (Tennessee), the number of telecommuters has risen eighteen (18) percent relative to 2011.  489,000 adults across Tennessee work from home on a regular basis.  Most of these employees do NOT work for themselves in family-owned businesses but for large companies that allow the activity.  Also, many of these employees work for out-of-state concerns thus creating ideal situations for both worker and employer.   At Blue Cross of Tennessee, one in six individuals go to work by staying at home.   Working at home definitely does not always mean there is no personal communication with supervisors and peers.    These meetings are factored into each work week, some required at least on a monthly basis.

Four point three (4.3) million employees (3.2% of the workforce) now work from home at least half the time.  Regular work-at-home, among the non-self-employed population, has grown by 140% since 2005, nearly 10x faster than the rest of the workforce or the self-employed.  Of course, this marvelous transition has only been made possible by internet connections and in most cases; the computer technology at home equals or surpasses that found at “work”.   We all know this trend will continue as well it should.

 

I welcome your comments and love to know your “telecommuting” stories.  Please send responses to: bobjengr@comcast.net.

ARTIFICIAL INTELLIGENCE

February 12, 2019


Just what do we know about Artificial Intelligence or AI?  Portions of this post were taken from Forbes Magazine.

John McCarthy first coined the term artificial intelligence in 1956 when he invited a group of researchers from a variety of disciplines including language simulation, neuron nets, complexity theory and more to a summer workshop called the Dartmouth Summer Research Project on Artificial Intelligence to discuss what would ultimately become the field of AI. At that time, the researchers came together to clarify and develop the concepts around “thinking machines” which up to this point had been quite divergent. McCarthy is said to have picked the name artificial intelligence for its neutrality; to avoid highlighting one of the tracks being pursued at the time for the field of “thinking machines” that included cybernetics, automation theory and complex information processing. The proposal for the conference said, “The study is to proceed on the basis of the conjecture that every aspect of learning or any other feature of intelligence can in principle be so precisely described that a machine can be made to simulate it.”

Today, modern dictionary definitions focus on AI being a sub-field of computer science and how machines can imitate human intelligence (being human-like rather than becoming human). The English Oxford Living Dictionary gives this definition: “The theory and development of computer systems able to perform tasks normally requiring human intelligence, such as visual perception, speech recognition, decision-making, and translation between languages.”

Merriam-Webster defines artificial intelligence this way:

  1. A branch of computer science dealing with the simulation of intelligent behavior in computers.
  2. The capability of a machine to imitate intelligent human behavior.

About thirty (30) year ago, a professor at the Harvard Business School (Dr. Shoshana Zuboff) articulated three laws based on research into the consequences that widespread computing would have on society. Dr. Zuboff had degrees in philosophy and social psychology so she was definitely ahead of her time relative to the unknown field of AI.  Her document “In the Age of the Smart Machine: The Future of Work and Power”, she postulated the following three laws:

  • Everything that can be automated will be automated
  • Everything that can be informated will be informated. (NOTE: Informated was coined by Zuboff to describe the process of turning descriptions and measurements of activities, events and objects into information.)
  • In the absence of countervailing restrictions and sanctions, every digital application that can be sued for surveillance and control will be used for surveillance and control, irrespective of its originating intention.

At that time there was definitely a significant lack of computing power.  That ship has sailed and is no longer a great hinderance to AI advancement that it certainly once was.

 

WHERE ARE WE?

In recent speech, Russian president Vladimir Putin made an incredibly prescient statement: “Artificial intelligence is the future, not only for Russia, but for all of humankind.” He went on to highlight both the risks and rewards of AI and concluded by declaring that whatever country comes to dominate this technology will be the “ruler of the world.”

As someone who closely monitors global events and studies emerging technologies, I think Putin’s lofty rhetoric is entirely appropriate. Funding for global AI startups has grown at a sixty percent (60%) compound annual growth rate since 2010. More significantly, the international community is actively discussing the influence AI will exert over both global cooperation and national strength. In fact, the United Arab Emirates just recently appointed its first state minister responsible for AI.

Automation and digitalization have already had a radical effect on international systems and structures. And considering that this technology is still in its infancy, every new development will only deepen the effects. The question is: Which countries will lead the way, and which ones will follow behind?

If we look at criteria necessary for advancement, there are the seven countries in the best position to rule the world with the help of AI.  These countries are as follows:

  • Russia
  • The United States of America
  • China
  • Japan
  • Estonia
  • Israel
  • Canada

The United States and China are currently in the best position to reap the rewards of AI. These countries have the infrastructure, innovations and initiative necessary to evolve AI into something with broadly shared benefits. In fact, China expects to dominate AI globally by 2030. The United States could still maintain its lead if it makes AI a top priority and charges necessary investments while also pulling together all required government and private sector resources.

Ultimately, however, winning and losing will not be determined by which country gains the most growth through AI. It will be determined by how the entire global community chooses to leverage AI — as a tool of war or as a tool of progress.

Ideally, the country that uses AI to rule the world will do it through leadership and cooperation rather than automated domination.

CONCLUSIONS:  We dare not neglect this disruptive technology.  We cannot afford to lose this battle.


My posts are not necessarily aimed to provide public service announcements but I just could not pass this one up.  Take a look.

On November first of 2018, Honeywell released a study founding that forty-four percent (44%) of the USB drives scanned by their software at fifty (50) customer locations contained at least one unsecured file.  In twenty-six percent (26%) of those cases, the detected fire was capable of causing what company officials called “a serious disruption by causing individuals to lose visibility or control of their operations”.  Honeywell began talking up its SMX (Secure Media Exchange) technology at its North American user group meeting in 2016, when removable media like flash drives were already a top pathway for attackers to gain access to a network. SMX, launched officially in 2018  is designed to manage USB security by giving users a place to plug in and check devices for approved use. The SMX Intelligence Gateway is used to analyze files in conjunction with the Advanced Threat Intelligence Exchange ( Exchange (ATIX), Honeywell’s threat intelligence cloud. Not only has SMX made USB use safer, but Honeywell has gained access to a significant amount of information about the methodology of attacks being attempted through these devices.

“The data showed much more serious threats than we expected,” said Eric Knapp, director of strategic innovation for Honeywell Industrial Cyber Security. “And taken together, the results indicate that a number of these threats were targeted and intentional.” Though Honeywell has long suspected the very real USB threats for industrial operators, the data confirmed a surprising scope and severity of threats, Knapp said, adding. “Many of which can lead to serious and dangerous situations at sites that handle industrial processes.”

The threats targeted a range of industrial sites, including refineries, chemical plants and pulp and paper facilities around the world. About one in six of the threats specifically targeted industrial control systems (ICSs) or Internet of Things (IoT) devices. (DEFINITION OF IoT: The Internet of Things (IoT) refers to the use of intelligently connected devices and systems to leverage data gathered by embedded sensors and actuators in machines and other physical objects. In other words, the IoT (Internet of Things) can be called to any of the physical objects connected with network.)

Among the threats detected, fifteen percent (15%) were high-profile, well-known issues such as Triton, Mirai and WannaCry, as well as variants of Stuxnet. Though these threats have been known to be in the wild, what the Honeywell Industry Cyber Security team considered worrisome was the fact that these threats were trying to get into industrial control facilities through removable storage devices in a relatively high density.

“That high-potency threats were at all prevalent on USB drives bound for industrial control facility use is the first concern. As ICS security experts are well aware, it only takes one instance of malware bypassing security defenses to rapidly execute a successful, widespread attack,” Honeywell’s report noted. “Second, the findings also confirm that such threats do exist in the wild, as the high-potency malware was detected among day-to-day routine traffic, not pure research labs or test environments. Finally, as historical trends have shown, newly emerging threat techniques such as Triton, which target safety instrumented systems, can provoke copycat attackers. Although more difficult and sophisticated to accomplish, such newer threat approaches can indicate the beginnings of a new wave of derivative or copycat attacks.”

In comparative tests, up to eleven percent (11%) of the threats discovered were not reliably detected by more traditional anti-malware technology. Although the type and behavior of the malware detected varied considerably, trojans—which can be spread very effectively through USB devices—accounted for fifty-five percent (55%) of the malicious files. Other malware types discovered included bots (eleven percent), hack-tools (six percent) and potentially unwanted applications (five percent).

“Customers already know these threats exist, but many believe they aren’t the targets of these high-profile attacks,” Knapp said. “This data shows otherwise and underscores the need for advanced systems to detect these threats.”

CONCLUSION:  Some companies and organizations have outlawed USB drives entirely for obvious reasons.  Also, there is some indication that companies, generally off-shore, have purposely embedded malware within USB drives to access information on a random level.  It becomes imperative that we take great care in choosing vendors providing USB drives and other external means of capturing data.  You can never be too safe.

DECISION PARALYSIS

January 5, 2019


The idea for this post came from “Plant Engineering Magazine”, December 2018.

OK, now what do I do?  Have you ever heard yourself muttering those words?  Well, I’ve been there—done that—got the “Tee shirt”.  We all have at one time been placed or have placed ourselves in the decision-making process with a certain degree of paralysis.  If you have P and L responsibilities, own a house, contemplate the purchase of any item that will impact your checkbook or finances, you’ve been there. Let’s take a look at eight (8) factors that may cause decision paralysis.

  1. RAPID CHANGE: The manner in which we conduct our daily lives has changed dramatically over the past few years. Digitalization is sweeping across the domestic and commercial world changing the way we do just about everything. The way we shop, bank, and travel can be accomplished on-line with delivery systems reacting accordingly.  Everyone, including the
    “ baby-boomers” need to get on-board with the changes.
  2. COMPLEX PROCESSES: Old-school processes are inadequate for managing today’s very complex issues. Our three sons and all of our grandchildren have probably never purchased a stamp.  Everything is accomplished on line including paying the bills.  There will come a time when every acquisition will start online.  One of the most fascinating web sites if U-tube.com.  I have never been faced with a “fix-it” problem that is not described on U-tube. It is a valuable resource.  Get ready for digitization now—its coming.
  3. DEMANDING CUSTOMERS: Today’s consumers have high expectations for attentive service, high value, and timely communication. It is no longer enough to be content with trusting the process will deliver value for the customer.  My greatest complaint with COMCAST is customer service.  The product itself is adequate but their customer service is one of the most pitiful on the planet.
  4. PHYSICAL THREATS: I do NOT mean burglars and home invasion.  Aging infrastructure systems, including our power grid, air traffic control, bridges, railways, pose significant threats to reliable communication, transportation and safety in general.  In-house and in-store equipment may not be sophisticated enough to handle growing demands brought on by our “digital world”.  Upgrades to physical equipment and programs driving that equipment become more frequent as we try to make decisions and choices.
  5. TOO MANY CHOICES: While choices are really nice, too many options can present a real burden for the decision maker.  We should and must prioritize the growing list of choices and choose the most viable options.  This includes possible vendors and companies offering choices.
  6. CYBER THREATS: We MUST incorporate systems to protect digital infrastructure.   If you read the literature, you find we are losing that battle. It’s almost to the point that every household needs an IT guy.
  7. DATA OVERLOAD: “Big data” is swamping us with information at an ever-growing rate due to an endless list of features and functionality relative to digital devices. As you well know, CDs and DVDs can now be purchased with terabyte capabilities.  Necessity is the mother of invention and this need will only grow.
  8. TIGHT BUDGETS AND FINANCES: In most cases, making the proper and correct decision will require some cost. Once again, this can cause delays in trying to choose the best options with the maximum payback in time, money and effort.

There may be others factors depending upon the situation or the decision you must make on a personal basis.    Let us now consider steps that just might ease the pain of decision-making.

  • EARLY DETECTION OF A PROBLEM: There probably are early warning signs that a problem is coming necessitating a solution. It is a great help if you can stay attuned to warnings that present themselves.  It gives you time to consider a possible solution.
  • SCHEDULE AND CONSIDER YOUR “FIX” EARLY: If at all possible, solve the problem before it becomes a panic situation. Have a solution or solutions ready to incorporate by becoming pro-active.
  • MONITOR THE FIX: Make sure you are solving the problem and not a manifestation of the problem.  We call this “root-cause-analysis”.
  • TRACK YOUR COSTS: Know what it costs to resolve the problem.
  • MAINTAIN RECORDS AND CREATE A PAPER TRAIL: Some times the only way you know where you are is to look back to see where you have been!

SOCIAL MEDIA

June 27, 2018


DEFINITION:

Social media is typically defined today as: – “Web sites and applications that enable users to create and share content or to participate in social networking” – OxfordDictionaries.

Now that we have cleared that up, let’s take a look at the very beginning of social media.

Six Degrees, according to several sources, was the first modern-day attempt of providing access to communication relative to the “marvelous world” of social media. (I have chosen to put marvelous world in quotes because I’m not too sure it’s that marvelous. There is an obvious downside.)  Six Degrees was launched in 1997 and definitely was the first modern social network. It allowed users to create a profile and to become friends with other users. While the site is no longer functional, at one time it was actually quite popular and had approximately a million members at its peak.

Other sources indicate that social media has been around for the better part of forty (40) years with Usenet appearing in 1979.  Usenet is the first recorded network that enabled users to post news to newsgroups.  Although these Usenets and similar bulletin boards heralded the launch of the first, albeit very rudimentary, social networks, social media never really took off until almost thirty (30) years later, following the roll out of Facebook in 2006. Usenet was not identified as “social media” so the exact term was not used at that time.

If we take a very quick look at Internet and Social Media usage, we find the following:

As you can see from above, social media is incredibly popular and in use hourly if not minute-by-minute.  It’s big in our society today across the world and where allowed.

If we look at the fifteen most popular sites we see the following:

With out a doubt, the gorilla in the room is Facebook.

Facebook statistics

  • Facebook adds 500,000 new users a day – that’s six new profiles a second – and just under a quarter (775) of adults in the US visit their account at least once a month
  • The average (mean) number of Facebook friends is 155
  • There are 60 million active small business pages (up from 40 million in 2015), 5 million of which pay for advertising
  • There are thought to be 270 million fake Facebook profiles (there were only81 million in 2015)
  • Facebook accounts for 1% of social logins made by consumers to sign into the apps and websites of publishers and brands.

It’s important we look at all social media sites so If we look at daily usage for the most popular web sites, we see the following:

BENEFITS:

  • Ability to connect to other people all over the world. One of the most obvious pros of using social networks is the ability to instantly reach people from anywhere. Use Facebook to stay in touch with your old high school friends who’ve relocated all over the country, get on Google Hangouts with relatives who live halfway around the world, or meet brand new people on Twitter from cities or regions you’ve never even heard of before.
  • Easy and instant communication. Now that we’re connected wherever we go, we don’t have to rely on our landlines, answering machines or snail mail to contact somebody. We can simply open up our laptops or pick up our smartphones and immediately start communicating with anyone on platforms like Twitter or one of the many social messaging apps
  • Real-time news and information discovery. Gone are the days of waiting around for the six o’clock news to come on TV or for the delivery boy to bring the newspaper in the morning. If you want to know what’s going on in the world, all you need to do is jump on social media. An added bonus is that you can customize your news and information discovery experiences by choosing to follow exactly what you want.
  • Great opportunities for business owners. Business owners and other types of professional organizations can connect with current customers, sell their products and expand their reach using social media. There are actually lots of entrepreneurs and businesses out there that thrive almost entirely on social networks and wouldn’t even be able to operate without it.
  • General fun and enjoyment. You have to admit that social networking is just plain fun sometimes. A lot of people turn to it when they catch a break at work or just want to relax at home. Since people are naturally social creatures, it’s often quite satisfying to see comments and likes show up on our own posts, and it’s convenient to be able to see exactly what our friends are up to without having to ask them directly.

DISADVANTAGES:

  • Information overwhelm. With so many people now on social media tweeting links and posting selfies and sharing YouTube videos, it sure can get pretty noisy. Becoming overwhelmed by too many Facebook friends to keep up with or too many Instagram photos to browse through isn’t all that uncommon. Over time, we tend to rack up a lot of friends and followers, and that can lead to lots of bloated news feeds with too much content we’re not all that interested in.
  • Privacy issues. With so much sharing going on, issues over privacy will always be a big concern. Whether it’s a question of social sites owning your content after it’s posted, becoming a target after sharing your geographical location online, or even getting in trouble at work after tweeting something inappropriate – sharing too much with the public can open up all sorts of problems that sometimes can’t ever be undone.
  • Social peer pressure and cyber bullying. For people struggling to fit in with their peers – especially teens and young adults – the pressure to do certain things or act a certain way can be even worse on social media than it is at school or any other offline setting. In some extreme cases, the overwhelming pressure to fit in with everyone posting on social media or becoming the target of a cyber-bullying attack can lead to serious stress, anxiety and even depression.
  • Online interaction substitution for offline interaction. Since people are now connected all the time and you can pull up a friend’s social profile with a click of your mouse or a tap of your smartphone, it’s a lot easier to use online interaction as a substitute for face-to-face interaction. Some people argue that social media actually promotes antisocial human behavior.
  • Distraction and procrastination. How often do you see someone look at their phone? People get distracted by all the social apps and news and messages they receive, leading to all sorts of problems like distracted driving or the lack of gaining someone’s full attention during a conversation. Browsing social media can also feed procrastination habits and become something people turn to in order to avoid certain tasks or responsibilities.
  • Sedentary lifestyle habits and sleep disruption. Lastly, since social networking is all done on some sort of computer or mobile device, it can sometimes promote too much sitting down in one spot for too long. Likewise, staring into the artificial light from a computer or phone screen at night can negatively affect your ability to get a proper night’s sleep. (Here’s how you can reduce that blue light, by the way.)

Social media is NOT going away any time soon.  Those who choose to use it will continue using it although there are definite privacy issues. The top five (5) issues discussed by users are as follows:

  • Account hacking and impersonation.
  • Stalking and harassment
  • Being compelled to turn over passwords
  • The very fine line between effective marketing and privacy intrusion
  • The privacy downside with location-based services

I think these issues are very important and certainly must be considered with using ANY social media platform.  Remember—someone is ALWAYS watching.

 

CAN YOU RETIRE

May 29, 2018


At some time in our working future we all hope to retire, but one burning question lingers—can you retire on what you have or will save at that point?  We are told that:

At some point in your life, you’ll be using this money to support your lifestyle. By the time you reach sixty (60), you should have six times your salary saved – that’s $360,000 if you make $60,000 per year. Unfortunately, the average sixty-something has an estimated median of $172,000 in the bank.  That is an estimate as of December 8, 2016.  Nearly half of American families have no retirement account savings at all.  This really blows my mind but this fact is what we are told by the Economic Policy Institute (EPI) in a new report entitled, “The State of American Retirement”.  Please take a look at the graphic below and you can see age groups vs retirement account savings.

Whereas the average savings of a family with members in the 32-to-37 age range is $31,644, the median savings is a bleak $480. At the other end, the average savings of families 56 to 61 — those nearest to retirement — is $163,557. The median is $17,000.

I think there are very specific reasons for the lack of savings, especially for younger citizens of our country.  Student loans, cost of living, pay scales, credit card debt, living above ones means, etc. all contribute to the inability to save or at least save enough for retirement.

The web site called MoneyWise.com has a very interesting solution to this problem or possible solution.  If you go to this web site and look up the following post: “Places You can Retire to for Less Than $200K” you will see a list of twenty (20) countries that can supply most if not all of your needs if your retirement is less than $200 K.  Let’s take a look at the list in order of favorability.

Thailand

Costa Rica

Nicaragua

Malaysia

Mexico

Malta

Ecuador

Spain

Portugal

Panama

Australia

Austria

Czech Republic

Slovenia

Chile

Uruguay

Vietnam

Guam

Indonesia

South Africa

MoneyWise.com completed a study comparing housing availability, cost of living, health care, crime, government and several other indicators to compile this list.  It is a very interesting study and I encourage you to take a look even if you are not considering being an expatriate. You just might change your mind.

There are two other web sites I definitely recommend you check out as follows: 1.)  The CIA Fact Book and 2.) Lonely Planet.  From these two you will find very valuable information relative to any country you wish to research.  Look before you leap might just be in order here. Another option might be spending time and not completely relocating.  Two, three, six or even nine months during one year might get you beyond worry relative to being able to afford retirement on what you have saved.  The most important thing is to DO THE RESEARCH.  Make a list, then a short list of the countries that represent the leading candidates. THEN MAKE A VISIT. Wade—don’t jump.  Several other considerations I would list are as follows:

  • Make sure you consider your family, friends and support group before you make the move. Will they be willing and able to visit on a regular basis if needed?
  • A huge factor for me would be availability of good if not excellent medical facilities.
  • Cost of transportation.
  • Language considerations. If English is an issue, how difficult would learning their language be?
  • Power supplied. (I know this is off the wall.) Does the country provide 120-volt AC, 60 cycles per second or do they provide another voltage and frequency?  In other words, will your electronics work?  Will you have to buy new equipment or can a converter do the job?
  • How difficult and costly is communication “back home”? This includes Internet services.
  • Viability of local banking institutions
  • Stability of government
  • Weather factors

This is where good research is a MUST.

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