Economic Insider

China Population Declines for Fourth Year, Births at Historic Low

In 2025, China’s population declined by 3.39 million, reaching a total of 1.405 billion. This marks the fourth consecutive year of population decline, signaling a persistent trend that highlights the country’s growing demographic challenges. The rate of decline was faster than in 2024, further underscoring the significant shifts in China’s population structure.

These trends have sparked concern among policymakers and experts alike, as China grapples with an aging population, decreasing fertility rates, and an imbalanced population structure. In addition to the overall population decline, births fell to 7.92 million in 2025, marking the lowest level since records began in 1949. Meanwhile, the number of deaths rose to 11.31 million, reflecting an older population with more people reaching retirement age. The widening gap between births and deaths is becoming increasingly pronounced, and its long-term effects are being keenly observed.

The Lowest Births in Decades

The drop in births is part of a broader pattern of declining fertility rates. In 2016, China recorded over 17 million births, nearly double the number in 2025. This sharp decline in the birth rate is a striking reminder of how quickly China’s demographic patterns have shifted in the past decade.

Various factors contribute to this decline. High living costs, limited support for childcare, and changing societal values have led many young couples to delay marriage or decide against having children altogether. Government data shows that marriage registrations fell by 20 percent in 2024, marking the steepest drop in decades. This decline in marriages directly affects fertility rates, as fewer people are forming families. If this trend continues, it is unlikely that the birth rate will recover in the short term.

Couples often cite financial burdens and the challenges of balancing careers with family life as significant barriers to having children. These factors, coupled with a highly competitive job market, contribute to the overall drop in family formation. The implications of these shifts are far-reaching, affecting everything from educational enrollment to workforce dynamics.

Deaths Rising Alongside Aging

China recorded 11.31 million deaths in 2025, one of the highest totals in decades. This increase in deaths reflects the growing number of elderly citizens as the country continues to experience a significant aging population. With millions entering retirement age, China faces growing pressure on its healthcare system and social services.

The aging population is putting a strain on healthcare facilities, which are experiencing rising demand for services such as elder care. Hospitals, long-term care homes, and healthcare providers must adapt to the increasing number of elderly individuals who need medical attention and support. Furthermore, China’s pension system is facing increasing financial challenges, as fewer young people enter the workforce to support a larger retired population. This demographic shift is expected to intensify over the coming decades, placing more pressure on the country’s resources.

Economic and Social Implications

The impact of a shrinking population extends beyond social services and healthcare. A smaller workforce means reduced productivity, which can lead to slower economic growth. As industries rely heavily on labor, the decline in the working-age population poses a challenge for businesses and the broader economy. Additionally, fewer younger people in the population means that consumer markets may shrink, particularly in industries targeted at youth.

Socially, China faces challenges related to a declining number of children. Schools are seeing a drop in enrollment, and many rural areas, already dealing with depopulation, could face even further declines as more young people move to urban centers. These shifts in population will lead to adjustments in both urban and rural communities, as society adapts to changing demographic patterns.

The country is also facing a growing generational divide, as fewer children are being born to replace those who are aging. The societal consequences of these demographic changes are still unfolding, with the effects likely to become more evident in the coming years.

Government Incentives and Public Response

In response to the declining birth rate, the Chinese government has introduced several policies to encourage families to have more children. These include subsidies, tax breaks, extended maternity leave, and efforts to improve access to childcare. Despite these measures, fertility rates remain low, with many couples choosing to delay or forgo having children altogether.

Financial pressures, rising housing costs, and the high cost of raising children are often cited as the primary reasons couples are hesitant to have larger families. Many younger generations are more focused on career and personal independence, which further delays family formation. Although the government’s incentives are aimed at encouraging childbirth, public response suggests that these policies have not been enough to significantly reverse the trend.

The gap between government policies and the choices of young couples reflects deeper societal changes. The shifting priorities of younger generations, who are increasingly focused on work-life balance and personal freedom, indicate that the country’s approach to tackling this issue may need to be rethought.

China’s Demographic Challenges and the Path Forward

China’s population is expected to continue its decline in the coming decades. Experts predict that the population could shrink even further, reaching potentially less than 1.3 billion by 2050. As fertility rates remain low and the aging population continues to grow, the effects on China’s economy, healthcare system, and workforce will become more pronounced.

The shift in China’s demographics will have far-reaching implications not just for the country but for the global economy. As the world’s second-largest economy, China’s demographic changes will influence global trade, labor markets, and economic dynamics. Understanding and adapting to these shifts will be critical to maintaining China’s growth and stability in the future.

The demographic trajectory also raises questions about the sustainability of current policies and the long-term social and economic outlook. Adapting to a shrinking population and an aging society will require significant adjustments in terms of policy, workforce development, and resource allocation.

Nexus Wealth Management and Robert Ellington-Montes: A Commitment to Optimizing 401(k) Plans for Employee and Organizational Growth

In the financial advising industry, Robert Ellington-Montes has made a name for himself as an expert in employer-sponsored retirement plans, especially 401(k) plans. As the founder of Nexus Wealth Management, Robert is dedicated to guiding organizations on how they can improve their retirement offerings to better serve their employees while contributing to the long-term health of the business. His approach goes beyond just managing funds—he believes in educating clients so that they can make more informed decisions for their futures.

A Purpose-Driven Career

Robert’s career in financial advising began in 2006 when he joined one of the nation’s largest investment firms. His passion for learning and excelling in the field quickly became evident, but his career path took a different turn when he felt the calling to serve his country.

During his time in the financial sector, Robert made the decision to step away from advising and enlist in the U.S. Army Ranger Regiment, 2nd Ranger Battalion. As an infantryman, he deployed to Afghanistan in the Global War on Terror. This experience had a profound effect on Robert, reinforcing his values of service, discipline, and personal responsibility.

Upon completing his military commitment, Robert returned to financial advising with a renewed sense of purpose. This experience in the military helped him refine his approach to serving clients, emphasizing dedication, continuous self-improvement, and the delivery of quality advice.

Robert Ellington-Montes’ Approach to Employer-Sponsored Retirement Plans

One of the core areas of Robert’s expertise lies in employer-sponsored retirement plans, particularly 401(k) plans. These plans are a significant part of many employees’ retirement strategies, making it essential for organizations to ensure their plans are structured effectively. Robert’s goal is to assist businesses in optimizing these plans so they offer real value for both the employees and the organization.

For Robert, a 401(k) is not just a financial tool but an important component of an employee’s long-term financial planning. By working with employers to optimize these retirement offerings, Robert helps ensure that employees have the opportunity to make decisions that can potentially benefit their futures. He believes that “once people have all the facts, they can make the best decisions for themselves and their families,” and this philosophy shapes how he works with both businesses and individuals.

Robert is known for his ability to break down complex financial concepts, making them understandable for clients who may not have a deep background in finance. His clear explanations allow employees to feel more confident in their choices regarding their retirement savings, and in turn, help businesses improve the effectiveness of their retirement plans.

Building Trust Through Education

Robert views his role as more than that of a traditional financial advisor—he considers himself a steward of his clients’ entrusted assets. This perspective drives his commitment to maintaining transparency and open communication with clients, building trust at every step. He believes that the foundation of a strong advisory relationship is trust, and he works diligently to ensure that his clients feel secure in the decisions being made.

By focusing on educating clients about their retirement options, Robert empowers them to make informed decisions based on a solid understanding of the available choices. Rather than simply offering financial products, Robert ensures his clients understand the “why” behind each decision and what potential impacts they may have on their financial futures.

Through this commitment to education, Robert fosters a sense of empowerment in his clients, encouraging them to take control of their financial security. He is dedicated to providing practical advice that can potentially enhance their financial outlook over time.

A Balanced Life Outside of Work

While Robert is passionate about his work, he places a strong emphasis on maintaining a healthy balance between his professional and personal life. Outside of his work at Nexus Wealth Management, Robert enjoys spending time with his wife, Katie, and their children, Addisson and Lincoln. His family is a priority, and Robert works to ensure that he can be present for them whenever possible.

In addition to family time, Robert pursues personal passions such as practicing Jiu Jitsu and teaching shooting skills. These activities not only help him maintain his physical health but also allow him to continue his personal growth. Robert’s commitment to self-improvement in both his professional and personal life serves as a model for others who look to balance their own career and family commitments.

Contact Nexus Wealth Management

For businesses looking to improve their employer-sponsored retirement plans, Nexus Wealth Management offers expert guidance tailored to meet the unique needs of each organization. Robert Ellington-Montes and his team at Nexus Wealth Management provide professional insights into optimizing 401(k) plans, with the aim of creating retirement solutions that benefit both employers and employees.

For more information, visit Nexus Wealth Management’s website or schedule a consultation directly through the following link:

Summary

Robert Ellington-Montes’s work at Nexus Wealth Management highlights the importance of optimizing employer-sponsored retirement plans to help secure a better future for both employees and organizations. His deep expertise in 401(k) plans, combined with his commitment to educating clients and fostering trust, makes him a valuable resource for businesses looking to improve their retirement offerings. Whether you are an employer seeking to enhance your 401(k) plan or an employee looking to make more informed decisions about your retirement savings, Robert’s approach provides guidance and clarity to help navigate the complexities of retirement planning.

 

Disclaimer: The information provided in this article is for informational purposes only and does not constitute financial, legal, or investment advice. It is recommended that individuals consult with a professional financial advisor before making any financial decisions.

Tax Season Survival Guide for Home Services Professionals: Expert Answers to Your Pressing Invoicing Questions

By: Robert Gill

Tax season can feel stressful for home services professionals. Plumbers, cleaners, electricians, landscapers, and handypersons often juggle many jobs, small payments, and changing costs. On top of that, paperwork and taxes still need attention. The good news is that with some consistent habits and the right tools, tax season can become a bit easier.

To help, this guide is written as a friendly Q&A with a tax advisor. It answers some of the most common invoicing and record-keeping questions contractors ask. You will also find a short checklist and real examples to help you stay organized all year.

Q: What invoicing documents should contractors always have ready for tax filing?

Expert answer:

Every contractor should keep three main things in mind. First, all issued invoices. These show what work you did and how much you earned. Second, a clear list of deductible expenses, like tools, fuel, materials, and work clothing. Third, an updated record of payments received and outstanding amounts.

Having these documents ready can help you report income accurately. It also reduces the likelihood of errors or questions from tax offices. Digital invoices are often helpful because they are easy to search and store.

Q: How can contractors avoid common mistakes when tracking expenses during the year?

Expert answer:

The biggest mistake is waiting too long. Many people save receipts in their pockets or cars and later forget them. Instead, try to save receipts right away. Take a photo or upload it to a simple app.

Next, use the same expense categories each time. For example, always log fuel as “travel” and tools as “equipment.” Finally, review your records once a month. This small habit can help you spot missing items early and reduce the stress of tax time.

Q: What tax challenges are unique to home services professionals?

Expert answer:

Home services work is rarely simple. You may work at many locations in one week. Payments may come late or in parts. Travel, parking, and material costs can change frequently.

Because of this, paperwork can become messy quickly. Without structure, it is easy to miss income or forget expenses. Using digital records can help bring order to this busy work style and keep everything in one place.

Q: Can digital tools really make tax season easier?

Expert answer:

Yes, they can be quite helpful. Digital tools can create invoices, track payments, and store receipts automatically, supporting efficient tax management throughout the year. This saves time and can help reduce errors.

For example, a small cleaning business owner used to spend days sorting paper receipts in March. After switching to digital invoicing, she now finishes tax prep in a few hours. Everything is already sorted by date and type.

Another example is a self-employed electrician who tracks mileage with an app. At the end of the year, he has a full travel record ready for tax filing, without guessing.

Q: What should contractors do if they work across many jobs and clients?

Expert answer:

Create one system and try to stick to it. Use the same invoice format for all clients. Log income as soon as the payment arrives. Track expenses per job when possible, especially materials.

This can make it easier to see which jobs earn more and which cost too much. It also helps if you ever need to explain your numbers during a tax review.

Simple Tax Season Checklist for Contractors

  • Save every invoice you send

  • Track all payments received

  • Store receipts right away

  • Use clear expense categories

  • Review records once a month

  • Track travel and mileage

  • Back up your data digitally

Summary

Tax season should, and with some effort, can be a bit more manageable. With just a few easy and smart digital tools and a bit of consistency, home service contractors can get and stay in control. To build confidence, start small and stay consistent. You may find that you thank yourself in the future.

Disclaimer: The information provided in this article is intended for general informational purposes only and should not be construed as tax advice. While the tips and strategies shared may be helpful in managing invoicing and record-keeping, every individual’s tax situation is unique. It is strongly recommended that you consult with a certified tax professional or advisor to address your specific tax needs and ensure compliance with all applicable laws and regulations.