American dream? For pensioners it is a nightmare, every fourth is poor
Due to the rising prices, today's 45-year-olds, according to the optimistic calculations of analysts, will need an average of around $ 1.1 million. (PLN 4 million 610 thousand) until retirement. Not to live in splendor, but to be able to retire fairly comfortably. The motto of Americans is: only as a millionaire can you easily avoid poverty in old age.
One of the solutions would be to increase the retirement age to 70 years, but it would probably cause mass riots.
In 2023, cars were burning on the streets of Bordeaux and shops were plundered. The French then unleashed violent protests against the Macron forced by Macron, after which they are to work up to 64. Instead of up to 62. To prevent reform, demonstrators go to extremes.
Meanwhile, the French received surprising support from the US, brave and hardworking country. According to a recent survey, about 39 percent Americans support riots, and the small majority are able to imagine a script in which similar protests explode in their country.
There is a danger that the United States will become another France, because the issue of pensions also becomes a dramatic problem there. Millions of Americans are approaching the end of their professional life – and will find that their reserves are not enough to survive. “I don't understand why I didn't save in my old age, now I have to work for the rest of my life,” says one of the inhabitants of Boston. Without the reaction of politicians, it is no longer possible to prevent a financial disaster among American seniors, while reforms can lead to anger and riots on the streets.
Pensioners in the US on the verge of bankruptcy
The retirement age in the United States is currently 67 years, but Americans may soon be forced to work up to the age of 70 to reduce the burden on the social insurance system.
The latest government data reveals the scale of the abyss between wishes and reality that the elderly people are struggling with retirement.
The rest of the text is under video material.
In old age, the Americans rely only on the social insurance system and this is a big problem – the average monthly check for a retired employee is around $ 1,800. (PLN 7,000 550). The average household of a typical American over the age of 65, however, spends over 4,000. hole. (16 thousand 779 PLN) per month – for rent, food, and above all for healthcare and medicines.
Prices and debt are rising
The anger of the unsolved issue of pensions is common in American society. While the unemployment rate under Joe Biden is the lowest since the 1960s, food and rent prices soared up.
However, it may be even worse. Already the poorly financed Social Security Payurity system, which depends on 67 million Americans, is currently in the face of huge solvency problems. By 2033, reserves and surpluses accumulated in the past can be exhausted due to rapidly growing needs.
The man holds the American flag in front of the damaged barrack.
According to the Pension Research Center, which operates at the Boston university, Boston College, public pension plans last year had only $ 0.75 on average. for every dollar that is due to future pensioners.
Desperation and escape into cryptocurrencies
Money is needed, so the US pension funds have long long spent gambling license. It is said that in the last financial year Over 100 states, cities and counties took out loans and invested money on the stock exchanges. This is an act of desperation, which is associated with a huge risk – if the prices are collapsed on the stock exchange, not only the assets of pensioners will decrease. They will also have to pay for debts in which the funds will fall.
Last year 94 percent publicly managed funds have invested some of their hard -earned retirement savings in cryptocurrencies or companies in them. Price drops in the past? Growing regulations? These factors apparently did not matter – after all, investments in cryptocurrencies offer liberatingly high profits.
Investors such as Warren Buffett perceive Bitcoin as nothing but a playing roulette, and in this case the life savings of Americans are at stake. Wall Street probably considers public pension funds in the US for the stupidest institutional investors in the world for a reason.
“The worst will come”
Politicians will not be able to evade the need to find a solution for a clock bomb that tickles in American society. Already every fourth pensioner in the USA is considered poor. In order not to lead citizens to barricades, American legislators will have to demonstrate delicacy. Democrats have recently proposed an extension of social benefits – financed by much higher taxes and contributions. However, this idea is considered unpopular, and the political price that should be paid for such a solution would be high.
It is not even known if this step is enough to solve the problem. Republican Study Committee, a group of conservatives in the House of Representatives, proposed in their latest budget project a gradual raising of retirement age from 67 to 70 years. However, this would be tantamount to cutting benefits and would probably cause huge dissatisfaction, especially among future pensioners.
It is obvious that strong trade unions in France contribute to the strength of protests in this country. Meanwhile, employees in the USA are almost not organized at all. In the past, when state benefits were to be cut off, thousands of people went to the streets in the United States. Sometimes they were truck drivers protesting before the Capitol in Washington against planned cuts, sometimes employees delivering parcels, and in the past – miners.
Therefore, everyone who thinks that they are able to solve the great problem related to pensions in the USA, underestimate the Americans, because the worst will only come.
