> How do people who think a feasible UBI future is possible square with this?
That's backwards. How do the people that run todays pension funds expect to own up to the fact that they've been technically bankrupt for quite a while?
The only reason the pension age is pushed upwards is to mask the fact that the money in the funds required to fulfill their obligations simply isn't there. The easiest way to do that is to start paying out later, a number of folks that would have otherwise been eligible will simply die in the intermediary and those that don't will pay into the pot for a couple more years.
UBI is a scheme that does not involve pension funds at all.
State pensions are often paid out of a special pot, and not general government funds; in the US, for instance the Social Security Old Age and Survivors (OAS) Trust Fund.
Yes. The problem is that the government tends to take money out of that 'special pot' for general budget shortfalls. It doesn't help that projections for future pension payouts tend to be overly optimistic as well.
This and the fact that when state pensions were getting good returns - they setup guarantees which became liabilities of the state. However, when investments went the other way - the guarantees were still in place. So they get to have their cake and eat it too.
That's backwards. How do the people that run todays pension funds expect to own up to the fact that they've been technically bankrupt for quite a while?
The only reason the pension age is pushed upwards is to mask the fact that the money in the funds required to fulfill their obligations simply isn't there. The easiest way to do that is to start paying out later, a number of folks that would have otherwise been eligible will simply die in the intermediary and those that don't will pay into the pot for a couple more years.
UBI is a scheme that does not involve pension funds at all.
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