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Social Security reform has been in place in Chile for 25 years. It is extremely successful.
There, all of the money goes into a retirement account. They are run by Private corps, but are heavily government regulated. The rate of return on the accounts in the 25 year period is over 10%/yr.
You fund your own account until it reaches the point where it will support the "basic payout". At that point, you have a few choices. You can stop funding your "pension". You can continue funding and create a better retirement. Or you can start drawing off money. If you hit the magic number at 45, you can "retire". But you don't have to stop working.
The existing retirees were not removed from the system. The Chilean government continued to pay those people out of the general fund.
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James
The pessimist complains about the wind; the optimist expects it to change; the engineer adjusts the sails.- William Arthur Ward (1921-1994)
Red-beard for President, 2020
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