Shortfall on Pension Plans
Gary
was reading me “Thoughts from the Frontline” by John Mauldin this
morning while we were sitting in the cockpit and I was drinking my
coffee. Normally I don't pay 100 % before coffee, but a couple of
things hit me while I was listening.
John
goes on to talk about the USA cities and states primarily and the
pension funds that have been promised to all government workers, and
how they have all based their interest on their funds on 7% returns,
and further with a lot of facts to back this up states that they are
getting close to 3% return on their bonds and stocks. So the money
has to come from somewhere, and it seems to be tied back to the
taxpayers. Either the property owners or the state taxes.
If
you wish to read the entire article it can be found at
Normally
I don't get too involved with the economics papers, sort of the lesse
faire attitude, that what will be will be, and also he is talking
about the USA and not Canada, but I really wonder how this is going
to effect all Canadians as well.
As
people are living longer, and may have 20 to 30 years of pensions
there has to be a crunch somewhere, because the birthrates are also
going down, so who is going to pay for all these pensions. Also, with
the interest rate at practically nil, our money in the bank is
earning zip.
Mr.
Mauldin goes on to say, that we need to forget the retirement age and
get an income that we can continue working on far into our “old
age” (which just happens to be 10 years older than you are now).
And that is where my interest peaked. Because my Shaklee business is
perfect for that. It lets me work, even while we are boating, gives
us another source of income than the Canadian OAP, which by the way,
doesn't even vaguely cover the cost of living.
He
also says, that it is wise to maintain the best health you can,
because getting old and sick will limit your options. And again, I
go back to our Shaklee products, which have made a huge difference in
our lives and our health. Vivix which is designed to help you
“Feel 25 years Younger and Live 25 years Longer” is a staple in
our cupboards. Tomorrow is Gary's 77th
birthday, and he is still the energizing bunny he has always been.
Exactly Phyllis. My Young Living business is serving the same role for us. Income plus products that help us to have better health
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