Like any government program that intervenes in a sphere in which the state should not be meddling in the first place, government run pensions are basically doomed to fail. It’s time to wind down the ones we have and let individuals choose their own retirement options.
Indeed, the Social Security scheme is an excellent example of how government programs, once established, gradually become far more costly—in real per capita terms, not just aggregate terms—as time goes by. Many recipients now spend decades collecting benefits on a program that had been sold as a program only for people who were too old, exhausted, and injured to work at all. Meanwhile, fewer and fewer workers are called upon to foot the inflated bill.
These growing commitments from Social Security are further aggravated by the fact that while the retiree population is growing, growth in the work force is stagnating. Since 1960, the total number of Social Security recipients has increased by 364 percent. Meanwhile, the prime age population (age 25-54) has grown by only 90 percent. Put another way, in 1960, there were 4.6 prime age workers per Social Security recipient. In 2020, that number was 1.9.
governments are a 30% net carried interest . always
they are always into it for themselves
This couldn’t happen in Canada, could it?
I’m sure that it has already happened and we haven’t heard about it yet.
Not a problem … just tax all those Billionaires I keep reading about!! Yeah!! Tax the rich. Wear $21,000.00 dresses that say Tax the Rich! Go get em … those deadbeats. Then … all 30M illegals can get Amnesty and get onto SS. That’ll fix everything.
Oh! And kill the Boomers too! Kill ‘em all deadter than deadt! Well, the white ones anyway.
What you need to believe to be a Socialist
Sure. Just return all the money they took from everybody who paid into it, with interest, and adjusted for inflation.
Or are you suggesting they just keep all that money, cut off all state OAPs, and say “Oh well, sucks to be you!”?
Definitely the MP and MPP pensions, cut those.
We are will to consider something for the 3 levels of civil servants.
The issue isn’t that the number of workers vs the number of retirees is shrinking. The issue is that the money deducted over the life of those retirees wasn’t managed properly. Had that money been set aside and managed well, it would be able to pay a fixed amount every month for as long as they continued to live.
Exactly. What could have been a savings annuity plan was turned into a PONZI scheme.
the US socialist security plan was always a ponzi scheme, because the lockbox was always a lie
The lock box is filled with IOUs, just like Dumb and Dumber.
Freedom 95!
I’m 52. Wife same. We’ve done ok. House mostly paid and we’re doing good with savings and investments. Not rich. Ok.
My prediction? Someday(soon) there will be a line where the people (like me) who “could” survive without CPP will draw less or even nothing. To give to those like in-laws and outlaws that failed to save/invest.
It’s what Liberals do. Jan 25 2023. Heard it here first.
Btw. Retirement planning has never included CPP. Anything I get will be bonus.
If you take an mRNA jab every year from now on, the government will be able fully cover you in your retirement no problem.
I saved and invested and still have enough to carry me to death. If there will be any left over it is hard to say. The government of course is making my cash worth less every year. Had I been able to control the investment of my CPP monies I would have been able to draw almost three times as much as I am being paid now for my forced investment in government. The OAS is also something that my overly high taxes over the years went to pay for. Incompetent money management by government is the problem not the pensions themselves as envisioned.
When the Canada Pension Plan was launched in the mid-1960s, it was actually a Ponzi scheme. The first seniors to draw pensions contributed much less than they were able to take out. Young workers were forced to pay higher premiums so that their elders could reap windfalls. Then as those young workers got closer to retirement age, contribution rates were increased to make up for the scam of the CPP’s early years.
“we are from the government.
We are helping you.
See”Old Age Pensions”
“Free Healthcare”.
Welfare for all..
And when the money ran out?
UP THE AGE before you can collect.
Impose a means test.
Fail to keep payment in line with real inflation..
But those government pensions will get priority..
The “helpers” ,our employees, who bankrupted and pillaged the public purse…will get their pensions,as a reward for their service..
Imagine if your accountant,in your small business, behaved as our bureaus do..
Of course CPP is doomed,it was a lie from the start and a Ponzie scheme from day one.
The takers outnumber the makers.
That money,the bait dangled in front of tax payers,to justify the theft,was stolen faster than it came in..
Can has been kicked to the end of the road.
Another great promise(Guaranteed no less) from our parasitic overload.
Real restitution will never happen,not in Can Ahh Duh..
Retribution ?
Now that might just happen.
Government commitments are now at the point where balancing the budget is impossible. National debt is rising $145 million every day, that’s $53 billion excess spending per year, or 2.5 times our military budget. Canadians will not tolerate the kind of austerity measures that would be required, any party attempting to do so would get voted out first chance the electorate got. I don’t pay attention to any talk about balancing the budget any more.
The fix would not be that bad. canada has wealth beyond belief if it was utilized . Welfare immigration should cease and the bureaucracy cut by 10% a year for the next five years. All government union contracts should be frozen until there is a valid surplus on the books to allow raises of any sort. Giveaways to all nations and peoples around the world have to stop, we cannot afford to enrich dictators and warlords. Drop the destructive carbon tax, and the g s t, h s t or whatever the hell they call that tax these days. A review of all bureaucratic rules and regulations must also be and most of them trashed. Yes, we could indeed put canada back on the road to prosperity.
Zeihan talks about the demographics of aging.
They’ll just tax the living hell out of us gen X types. We’ll be carrying the burden of THEIR pensions.
Insolvency is the least of THEIR worries.
Funding a pointless land war in Asia has consequences.
Demographics is a problem the government has known about for over 40 years. If they haven’t taken steps by now…
Insolvency? Oh, no! What would I do without solvent?
This could be a problem without a solution…