Is it true that Pension funds will be eliminated? Okay, you may be lucky because the company you work for very concerned and provide for your retirement so that you will feel safe to live as a retiree.
"But wait a minute .., read following these shocking news!"
(The cover of the New York Times Magazine, October 30, 2005)
"The Great Retirement Rip-off" - "Millions of American WHO think They will from Retire with benefits are in for a nasty surprise. How corporations are picking people's pockets - with the help of Congress."
(The cover of TIME Magazine, October 31, 2005)
Is that only in America, certainly not in other countries such as Indonesia (South East Asian Tigers), there is the same story
"Government Debt to Taspen Reached Rp 306 Trillion"
(Kompas, trusted newspaper in Indonesia, 16 January 2007)
The Indonesian government could not afford to pay the loan because it would burden the state budget, according to P. Noble Nasution (Secretary General of the Ministry of Finance)
"Minister of Administrative Reform in Indonesia, recently proposed to abolish the Civil Service Pension Fund, as his successor, government will provide Severance Fund "
(Kompas, trusted newspaper in Indonesia, 13 January 2007)
Do You know why the American government, Indonesia, Britain and almost all other countries plan to eliminate the Pension Fund?
Just as the growth of consumerism after World War II, caused by the "Baby Boomers (people born between around 1946 to 1964), the problem of the Pension Fund is also caused by a group of Baby Boomers! That is the reason why pension fund will be eliminated.
In America, in a few years, 75 million Baby Boomers will retire in the same time! They are the first generation which contributes greatly to the pension fund and health fund. The problem is that the money is not there anymore!
In America, every retiree will get an average of USD 1,000 per month. This means that the American government must prepare a 75.000.000.000 U.S. Dollars (all right… Probably "zero" is too much, so it is hard to read! lol .... Yes! 75 billion U.S. dollar!).Yes, yes; Per Month!
More or less this figure is similar with U.S. government finance for the war in Iraq every month!
"Total United States government bonds to its citizens are 72 trillion U.S. dollars (10 trillion U.S. Dollars for Social Security and 62 trillion U.S. Dollars to Medicare)!"
(Kent Smetters and Gokhale Jagadesh, 1994)
"Meanwhile, in 2000, the value of all shares of the world's" are only "36 trillion U.S. Dollars, and the value of the securities world's" are only "31 trillion U.S. Dollars!"
Studying the data above, now we know that’s why the governments of the world's plan to remove the pension fund from their budget.
So should we surrender and accept this fact?
How do we prepare?
Therefore, becoming an entrepreneur is better. If we cannot be as rich as upper-class businessmen at least we can do better or be an old businessman rather than to be retirees who have just started a business and have lost their money to meet our needs.
Life is full of choices, so which one you want to choose?
