Upcoming world retirement crisis

[TX Bill]

http://news.yahoo.com/ap-impact-world-braces-retirement-crisis-054306102--finance.html

I thought this was an interesting article. I would encourage anyone, no matter how young or old they are, to start saving as much as realistically possible. If you work for a company that has a plan, contribute often.

Here in the USA, I don't think my generation can count on Social Security like the generations before us. So, in that respect, I'm more than likely going to be on my own when it comes to retirement savings to live off of when and if I'm able to retire.

 

[johnnydawg68]

Disagree on SS, but I'm screwed otherwise. Will be working until I die. Made some poor investing/financial decisions and it's cost me.

 

[mezzrow]

The major factor is that the future isn't going to look anything like the past. We all pretty much have to concede that there is a major reckoning waiting around the corner - it isn't an if, it's a when.

The balance of working/retired individuals will be skewed until the big knots of boomers (that's me) gets through the retirement years, and who knows how long we'll hang on? I think the factor that most don't figure is that we're going to keep working longer, and find another "something" to keep income going through as many years as we can. We're a pretty entrepreneurial bunch.

The Mrs. and I have saved like packrats and invested very conservatively, but there are no guarantees.

Have real assets. Debt that controls you (as opposed to debt you control) is slavery.

 

[johnnydawg68]

The major factor is that the future isn't going to look anything like the past. We all pretty much have to concede that there is a major reckoning waiting around the corner - it isn't an if, it's a when.

The balance of working/retired individuals will be skewed until the big knots of boomers (that's me) gets through the retirement years, and who knows how long we'll hang on? I think the factor that most don't figure is that we're going to keep working longer, and find another "something" to keep income going through as many years as we can. We're a pretty entrepreneurial bunch.

The Mrs. and I have saved like packrats and invested very conservatively, but there are no guarantees.

Have real assets. Debt that controls you (as opposed to debt you control) is slavery.

Agree. If I can get to a paid off mortgage, no debt other than household bills, and a bit of money put away on top of a SS check I'll be ok.

I've always said (even if I've not lived by my own words in the past), if you owe someone you are never truly free.

 

[dholliday]

I would encourage anyone, no matter how young or old they are, to start saving as much as realistically possible. If you work for a company that has a plan, contribute often.

Good advice for us Europeans too. I don't think people my age (mid-30's) should expect a state pension in 30 years time. Who knows how the economy will look? Best to figure out your own retirement plan, and if we do get some kind of state support when we retire, then it's a bonus.

 

[Bruce Wayne]

I think the state pension will be a myth by the time I reach retirement age. I'm in a job I love though so see no reason to give that up so long as I'm mentally capable of doing it.

Suffice to say though that I doubt my industry will be around, or in its current shape at least, in 30 years time so we'll see how things evolve.

 

[Piijt]

I'm sure our government will start means testing so if you do have a few bob saved they won't pay out.

 

[dholliday]

I think the state pension will be a myth by the time I reach retirement age. I'm in a job I love though so see no reason to give that up so long as I'm mentally capable of doing it.

Suffice to say though that I doubt my industry will be around, or in its current shape at least, in 30 years time so we'll see how things evolve.

What is your industry?

Mine is outsourced IT Remote Admin...very precarious...rare to have client contracts last longer than a small handful of years. As such the host company who pay your wages have a limited lifespan themselves (often being bought out by bigger companies, and subject to mass costcutting).

 

[neil999]

pensioners vote, while that still happens there will still be a pretty good state pension IMO

 

[evilwebby]

The current system is one huge Ponzi scheme.

The workers of today are NOT contributing to their future pension, all they are doing is fulfilling obligations previously made to current retirees. The young of tomorrow will have even larger obligations to meet - promises which cannot possibly be met.

 

[Chang Elephant]

Totally agree with the concerns expressed here and would welcome an increase in taxation to solve the problem. This is what happens when the state retreats and individuals revert to self interest, dog eat dog economics.

 

[rascal]

Only way to solve the problem is by living in a Star Trek world. But sadly that goes against two fundamental characteristics of those who control life - namely greed and selfishness.

 

[Tennessee Blue Mike]

Social Security is one huge Ponzi Scheme in the US. You don't have to believe in conspiracy theories to believe it. Look at the real purchasing power of the dollar since 1938. I agree Pension plans are still out there but have declined in the recent years as most companies have realized they can not effectively fund them. Local Governments pensions for Teachers, Police and Firefighters, etc. are dwindling fast in reserves when the music stops there will be many hurt by mismanagement and appropriation of funds.

 

[SerenityNigh]

Disagree on SS, but I'm screwed otherwise. Will be working until I die. Made some poor investing/financial decisions and it's cost me.

You're still (relatively) young, eh? Lots of time left to make good decisions.

 

[johnnydawg68]

You're still (relatively) young, eh? Lots of time left to make good decisions.

Sure, but maybe not the income. I used to make a ton of money and blew it. Now there's not much left over to save. I try, but it's difficult.