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how are you financially vulnerable if you have an asset worth hundreds of thousands of dollars? Easy. Yes you have a hard asset, but you have largely spent the
by sliverstorm 12y ago
how are you financially vulnerable if you have an asset worth hundreds of thousands of dollars?
Easy. Yes you have a hard asset, but you have largely spent the most valuable assets you have- your strong back, free time, and good health.
The 21-year-old might be pennyless, but his assets are worth quite a bit more than $100k in cash, and they keep pace with inflation...
- Dylan16807 12y agoYou listed health twice, and what kind of unemployed and not-looking-for-a-job (if we're talking about fixed retirement income) person has no free time?
- sliverstorm 12y agoThe ability to do work (strong back) and the freedom from onerous medical expenses (good health) are related, you are right. But I like to think of them as distinct, because you can have one without the other. As for free time, I am not saying a retiree has no time. Just, much less left to work with.
- JamesBarney 12y agoIf his assets keep pace with inflation then how does he end up needing assistance when he's 55? I'm all for government being involved in retirement because shit happens. hould the upper middle class person in a 600k house be given more then his brother who rents? If we have government funded retirement(which I'm all for) why should some of it be dependent and proportional to the amount of house one owns.
- jacquesm 12y ago> If his assets keep pace with inflation then how does he end up needing assistance when he's 55? Usually by over-spending during the times when it seems as if income will never end.
- bsdshepherd 12y agoYour comment is excellent. Depreciation is never addressed in these discussions. Asset, as most terms, depends on context. "The youth of today do not know what to believe, but are willing to fight for it anyway." - Abraham Lincoln