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Pensions work 100% but they cost money SO instead of paying pensions we have more profits which benefits the wealthy? The whole stock market profits the same p
by baldfat 11y ago
Pensions work 100% but they cost money SO instead of paying pensions we have more profits which benefits the wealthy? The whole stock market profits the same people. That people have to pay into the market for them to have a retirement plan also benefits the same wealthy people.
When people's 401K fail then the government has to pay for the companies for not providing for their employees.
http://time.com/money/3624637/401k-retirement-problems-getting-better/ http://time.com/money/3624637/401k-retirement-problems-getti...
- pc86 11y agoDon't pensions rely on the market in order to remain solvent? Where does the supposed gain come from? Either it comes from the markets, in which case the workers are better off investing in the market directly, or it comes from the people paying into the system today, in which case it collapses as soon as the debits exceed the credits. And no it's more like "pensions work 75%"[0] [0] http://abcnews.go.com/blogs/business/2013/04/insolvent-union-pension-plans-may-double-by-2017/ http://abcnews.go.com/blogs/business/2013/04/insolvent-union...
- baldfat 11y agoPensions rely on payments. Now those payments do get invested. Pennsylvania just didn't make payments for 10 years for teachers and state workers and that kind of causes problems. Also 65 might be to low a number now but that is another issue.
- pc86 11y ago> Pensions rely on payments. Meaning that the system collapses if you don't have new people continually paying into it? I think that already has a name.
- baldfat 11y agoNo the state just didn't pay their bill. Now we are paying much higher to catch up! Last time I looked PA has millions of people.