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- #49
anthony
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Yer, that retirement age is an issue. Australia used to be 60, then went to 62, is now 65 I think... and they're even talking about extending it towards the 70 region, being more accurate to what medicine is achieving today.
Retirement has always been economically calculated on an average survival of around 10 - 15 years beyond retirement. If it extends beyond that, then the person becomes a burden on the system.
As you would know from our policy changes with compulsory superannuation, there is a transition period of something like 50+ years, and even then, if people live too long beyond retirement age, they will run out of their money and need a pension, thus we come back to burdening the economy when it was never factored into the economical structure.
I remember reading about this miracle in medicine of keeping people alive until 150, and one line used in the discussion was that parents would need to have a further burden of starting superannuation for their children upon birth, because the math simply wouldn't addup that a person could work a normal 40 - 50 year period after education, retire and support themselves for a further 70 years. It would be impossible. Superannuation would have to be 35% of your gross earning to support you within retirement, factoring in interest growth on that money during your schooling and workable first 70 years of life. If the market crashed, or an economy, within your lifetime, it would place unsustainable population numbers at greater risk again... being unable to support themselves in retirement. Oh wait... that's happening right now. People who were just about to retire having to continue working until they fall over and die because financial geniuses lost so much money of other peoples that the affected have no choice other than to work until they die.
The leading economists in the world can't even comprehend how the world will be capable of sustaining itself in the very near future with the way the population curve is currently trending, as is expected, based on how growth works in a linear fashion.
Retirement has always been economically calculated on an average survival of around 10 - 15 years beyond retirement. If it extends beyond that, then the person becomes a burden on the system.
As you would know from our policy changes with compulsory superannuation, there is a transition period of something like 50+ years, and even then, if people live too long beyond retirement age, they will run out of their money and need a pension, thus we come back to burdening the economy when it was never factored into the economical structure.
I remember reading about this miracle in medicine of keeping people alive until 150, and one line used in the discussion was that parents would need to have a further burden of starting superannuation for their children upon birth, because the math simply wouldn't addup that a person could work a normal 40 - 50 year period after education, retire and support themselves for a further 70 years. It would be impossible. Superannuation would have to be 35% of your gross earning to support you within retirement, factoring in interest growth on that money during your schooling and workable first 70 years of life. If the market crashed, or an economy, within your lifetime, it would place unsustainable population numbers at greater risk again... being unable to support themselves in retirement. Oh wait... that's happening right now. People who were just about to retire having to continue working until they fall over and die because financial geniuses lost so much money of other peoples that the affected have no choice other than to work until they die.
The leading economists in the world can't even comprehend how the world will be capable of sustaining itself in the very near future with the way the population curve is currently trending, as is expected, based on how growth works in a linear fashion.