Related: the Canada Pension Plan (CPP) was also a PAYGO system and was reformed in the late 1990s: * https://en.wikipedia.org/wiki/Canada_Pension_Plan#1998_ref

Related: the Canada Pension Plan (CPP) was also a PAYGO system and was reformed in the late 1990s: * https://en.wikipedia.org/wiki/Canada_Pension_Plan#1998_reforms https://en.wikipedia.org/wiki/Canada_Pension_Plan#1998_refor... A good book on how it happened is Fixing the Future by Bruce Little: > While the deficit battles have been recounted many times, the story of the reform that rescued the CPP has gone almost entirely untold. In Fixing the Future, Bruce Little explains the CPP overhaul and shows why it stands as one of Canada's most significant public policy success stories, in part because it demanded an almost unparalleled degree of federal-provincial co-operation. Providing an overview of the CPP's entire history from its beginning in 1965, Little pulls together published, and new unpublished, material relating to the CPP reform, and interviews over fifty politicians, government officials, and others who were deeply involved in the reforms for their recollections, insights, and observations. * https://utppublishing.com/doi/book/10.3138/9780802095831 https://utppublishing.com/doi/book/10.3138/9780802095831 It is now a hybrid systems: some component of benefits are PAYGO, but a portion are invested in capital markets (and private equity, by owning things like ports and highways). The investment component is run by an arms-length entity with board members being appointed by the feds and provinces: * https://en.wikipedia.org/wiki/CPP_Investments https://en.wikipedia.org/wiki/CPP_Investments There were further reforms in 2017. Fun fact: it's actually harder to amend the CPP Act than the Canadian Constiution.