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Agree. 401ks were never intended to be a complete retirement plan or pension replacement, and are frankly untested at the scale that they are now being used for
by Afforess 5y ago
Agree. 401ks were never intended to be a complete retirement plan or pension replacement, and are frankly untested at the scale that they are now being used for. It's a little scary that a tiny carveout of the larger IRS code for pensions was turned into the defacto retirement plan for Americans.
https://en.wikipedia.org/wiki/401(k)#History https://en.wikipedia.org/wiki/401(k)#History
- bradleyjg 5y agoSocial security and Medicare are supposed to provide a floor and prevent elderly poverty. We’ve gotten much much richer (which somehow previous generations never get any credit for) and so that floor seems a lot lower than it used to. Beyond keeping the elderly out of poverty I’m not sure there’s a problem to solve. If people would rather drive a BMW in their 30s than play golf in their 70s who am I to tell them they are wrong?
- jlokier 5y ago> We’ve gotten much much richer (which somehow previous generations never get any credit for) Astute point. I hacn't thought of it that way before. All the talk about past generations "borrowing from their grandchildren's credit card" doesn't take into account the wealth created for the grandchildren to inherit. I wonder how these forces balance out when evaluated by economists.