Retirement Savings not just a Millennial problem

[artradley]

It's part of 21st century skills and is required in at least the state of Iowa. It is good that it's taught but you must not have much experience with high school kids or forgot how much you cared when you were that age.

There's the problem. Both of my kids had to take a finance class in high school, but they had no concept of what they were learning; you just don't understand any of that until you're in the real world.

I remember when my dad told me about property taxes when I was 18 or 19. I understood what he was saying, but there was a big part of my brain that couldn't completely believe that you would have to pay a few thousand dollars a year just to keep owning a home that you'd already paid for. I heard him, but I didn't fully believe him -- I assumed there was more to it that he wasn't telling me.

I have had couple of sit-downs with my kids to discuss personal finance, and I can tell they are dubious about some of things I'm telling them.

 

[Hawkeye_311]

Isn't Paul Ryan the one that wants to cut Social Security?

Social Insecurity isn't a retirement plan. The Dem's are coming for the redistribution of personal 401K plans.

 

[millah_22]

Social Insecurity isn't a retirement plan. The Dem's are coming for the redistribution of personal 401K plans.

Could you please provide a source?

 

[whatsup13579er]

Social Insecurity isn't a retirement plan. The Dem's are coming for the redistribution of personal 401K plans.

This would cause farmers storming the courthouse type outrage.

 

[whatsup13579er]

Could you please provide a source?

Socialism.

 

[LuciousBDragon]

I don't know what their excuse is. I was responding to the 1st sentence of the OP.

"It is not shocking that millennials aren't saving for retirement because their parents probably never taught them."

FWIW, I agree with you that CEO's and burger flippers deserve different pay, but I also believe cost of living has sky rocketed and pay has not reflected that. I don't think it's an issue of knowing how to save/invest, I think it's an issue of having the means to do it while making your next rent check, meal, diapers, etc. whatever people's expenses are for the month. There are only so many places to cut back while other expenses rise.

My wage comment also was more about someone making $17.00/hr (not that much) critisizing someone how makes $12.00 (not that much) for wanting $15.00 (not that much) is that everyone is focused on blaming the wrong people.

For example, Jeff Bezos is now worth $150 billion dollars. Imagine had he invested even $50 billion into his employees salaries and benifits. He'd still have $100 billion. However the managers that make $17.00 still hate on the warehouse staff that only make $13.00, while Their boss has $150 billion.

When you look at exec compensation don’t get too focused on be biggest number. When they say “worth” they are including options. That money is not just lying around in a savings account to do like you propose on a whim.

Sounds like a whole other issue with your warehouse managers “hating” on the warehouse staff. Sensitivity training or some deep breathing exercises can take care of that.

When did we turn into the nation of opportunity where we want immigrants to come here or our own people to grow out of poverty, live out the American dream, and get rich and then vilify them for getting rich? The nation has an envy problem.

 

[millah_22]

Socialism.

While I appreciate your humor, I was looking to educate myself on the issue where Democrats wanted to redistribute 401k savings.

 

[3 and Out on D]

This is a much bigger problem for the baby boomers as they are 55 plus to 72 years old. Millennials are 36 years old and under.

The ever growing gap between the wealthy and the poor is a major problem that this country is avoiding.

 

[Urohawk]

Best advice is what my boss gives to the new doctors. He is around 58. Self made man from rural South Carolina. Got through College and Med school through military service. Made his way out and became a doctor. Most driven and successful guy I've ever met.

He says, "My parents knew poor. They grew up in the Great Depression. They never spent money and saved everything. They lived very frugal lives. I heard about poor from my parents. It caused me to save and plan for things. I saw my parents not enjoy things like travel and the finer things of living so I budget for that. You guys are like my kids. You never knew poor, you never saw poor, heck you never even heard of poor. You have a major problem. You have to start saving now. So far you have never worried about it. Your generation has the largest financial burden with the decrease in population and workforce." Que the how to plan for retirement talk....

 

[whatsup13579er]

While I appreciate your humor, I was looking to educate myself on the issue where Democrats wanted to redistribute 401k savings.

I don't think that would ever happen. It would be political suicide to even suggest it for any respectable politician.

However, wouldn't that be a staple of a socialism regime? I bet the gal running in NYC would love the idea.

 

[ChrisVarick]

Best advice is what my boss gives to the new doctors. He is around 58. Self made man from rural South Carolina. Got through College and Med school through military service. Made his way out and became a doctor. Most driven and successful guy I've ever met.

He says, "My parents knew poor. They grew up in the Great Depression. They never spent money and saved everything. They lived very frugal lives. I heard about poor from my parents. It caused me to save and plan for things. I saw my parents not enjoy things like travel and the finer things of living so I budget for that. You guys are like my kids. You never knew poor, you never saw poor, heck you never even heard of poor. You have a major problem. You have to start saving now. So far you have never worried about it. Your generation has the largest financial burden with the decrease in population and workforce." Que the how to plan for retirement talk....

I heard about poor from HROT board members.

 

[mr12182]

Forgive me for my uneducated question: is an IPERS pension considered retirement savings in these surveys? TIA

 

[Run&Blade]

I could see a day when the government confiscates a portion of people’s wealth tbstchave a billion dollars in assets.

 

[Hawk_4shur]

Why do so many companies get away with only kicking in 1-3%? That's a bigger joke.

For example, Jeff Bezos is now worth $150 billion dollars. Imagine had he invested even $50 billion into his employees salaries and benifits. He'd still have $100 billion. However the managers that make $17.00 still hate on the warehouse staff that only make $13.00, while Their boss has $150 billion.

Do you guys really understand how capitalism works?

Companies kick in 1-3% because they can - they can attract a workforce that gets the job done for them.

If Bezos increased the salaries and benefits at Amazon, by $50 billion, he would not have $100 billion because his Amazon stock would tank.

The Board of Directors and Management's goal is to increase the value of the company. They aren't going to pay employees more than they have to.

I'm not saying I like it, or that it's "fair" - it is just the way it works in this country.

 

[Sooner-Be-Dead]

Do you guys really understand how capitalism works?

I understand that capitalism isn't perfect.

 

[Rifler]

I know a couple guys now looking at working past 65 because in 2008 when things crashed, they panic sold low and lost their a$$es.

The smartest thing I did in 2008 was absolutely nothing.....

 

[Hawk_4shur]

I understand that capitalism isn't perfect.

Right. It's like Democracy.

"Many forms of Government have been tried, and will be tried in this world of sin and woe. No one pretends that democracy is perfect or all-wise. Indeed it has been said that democracy is the worst form of Government except for all those other forms that have been tried from time to time.…’

Winston S Churchill, 11 November 1947"

 

[tarheelbybirth]

No need to worry the Democrats and Socialist will be coming for your retirement savings soon enough.

Really? Those are the folks trashing pension plans? If the "Democrats and Socialists" wait too long, there won't be anything left.

 

[Sooner-Be-Dead]

Right. It's like Democracy.

"Many forms of Government have been tried, and will be tried in this world of sin and woe. No one pretends that democracy is perfect or all-wise. Indeed it has been said that democracy is the worst form of Government except for all those other forms that have been tried from time to time.…’

Winston S Churchill, 11 November 1947"

I agree that capitalism is the best option. Works for me certainly. But a decent percentage of a population will fall through the cracks of capitalism. I would argue that the non-capitalist retirement programs like Medicare work better than private ones. At least for the lower half on the income and health scale.

 

[Hawk_4shur]

I agree that capitalism is the best option. Works for me certainly. But a decent percentage of a population will fall through the cracks of capitalism. I would argue that the non-capitalist retirement programs like Medicare work better than private ones. At least for the lower half on the income and health scale.

"Aye, there's the rub."

We want to live in a capitalistic society, but we don't want to leave so many people behind. That's one of the reasons we have a progressive tax system. But, then successful ones don't like it because they figured it out for themselves but still have to pick up the slack for the ones that don't.

Social Security and Medicare were designed as "safety nets". Today, too many people completely and totally rely on them. But, we absolutely have to have them.