Two-thirds of workers age 55 or older have less than $100,000 in their retirement accounts. If you draw 4% a year from your savings that $100K will not last long. And an estimated 60% of retirees 65 plus get the bulk of their retirement income from Social Security. The average payment is about $1,000 a month. That won't get you much. And 56% of workers who are already retired have less than $50,000 saved to last them for the rest of their lives.

Despite these statistics, studies show that more than 60% of seniors find retirement very satisfying. Especially if they have started a home business that's giving them extra income. Or, maybe they have enough equity in their homes to sell and find a cheaper home/condo in the area that they can pay cash for and use the balance of that money to supplement their retirement income, says Jean Setzfand, director of financial security for AARP. Others are choosing to relocate to less expensive parts of the country, or outside the country. And many others are replacing expensive hobbies and travel with cheaper hobbies and outings to local parks where they paint, or they visiting friends and family, go garage hopping and sell their new treasures online etc.

Steve and Christine D. love to travel but realize that when they retire in a few years, that opportunity will be out of their budget. So, in preparation for retirement they sold their large, expensive home, moved to a smaller home, and bought a great cabin on a river near Yellowstone where they will spend the summers and early fall. "If we are never able to take cruises or long trips, we'll be very happy. This is my favorite place in the world anyway so I don't feel like I'd be missing anything. But having two homes isn't cheap. That's why I started a home business that I can do anywhere. We need the extra income."

And her husand has plans of his own. A talented artist who works in mixed medium Steve has discovered a new outlet for his creative juices and hopes to sell some of his work once he does retire.

The new generation of retirees are discovering that they don't have to save huge amounts to retire if they are frugal. But if you want to live the same retirement lifestyle you currently enjoy, you will probably need more that you think. So plan ahead, and if you do need extra money take on a part time job , start a home business or monitize a hobby. Whatever you decide, I am sure of one thing. Baby boomers are resourceful and will make it work.