Social Security can’t save us from the poorhouse

Marketwatch ^ | April 4, 2014, 6:01 a.m. EDT

[wetphoenix]

Financial advisers for years have warned about a looming shortfall between what people have saved and what they’ll need to maintain their standard of living in retirement.

And, certainly, what Americans have put away for retirement is paltry. Unless we all start saving like crazy, the pundits say, we’ll have nothing to live on during our so-called golden years. Or we’ll all have to work into our eighties — if they let us.

But maybe we should look at it another way. For most Americans, Social Security will be their primary source of retirement income. Everything else — IRAs, 401(k)’s, even some old-fashioned defined-benefit pension plans — will be icing on a not-very-rich cake.

The reasons are clear. Tens of millions of Americans don’t have access to 401(k)’s or other retirement plans at work. And millions of families are barely earning enough to cover their current needs, let alone save for retirement.

Suggesting that Social Security will be Americans’ main source of retirement income may seem surprising; after all, the average monthly benefit is only $1,294, according to the Social Security Administration.

But it’s no surprise at all to Dallas Salisbury, president of the Employee Benefit Research Institute (EBRI), a Washington, D.C.-based group that publishes tons of research on the topic.

When I put the question to him in a phone interview this week, he said matter-of-factly: “That’s what all kinds of pensions have always been. The system always has been designed to supplement Social Security for individuals who have had continuous attachment to the labor force.”

[AlexW]

“I’d be interested to hear what you’ve learned in retiring as an ex-pat.”
________________________________________________
I would be happy to tell you, but you would have to be more
specific. I started in Central Europe and found it very rewarding, but I was working as a private tutor an making money.
After retirement I moved to the Philippines and started a whole new life with a new wife and a new child.
Life can be great if you make your own.

[garandgal]

Exactly...the health insurance (healthcare) costs will destroy nearly everyone.

This is not by accident. I keep trying to tell people that it is an asset grab...the “middle class” owns too much. They are going after the real estate, farm ground, etc. that is owned by the populace...they are doing it by bankrupting all of us via healthcare.

They are already signing up unsuspecting dupes to Medicaid...these people have no idea that their assets will be seized upon their death. Next up: making medical bills “unbankruptable”...they did it with student loans...they will do it with medical bills shortly.

[AlexW]

Not to worry....They are a pathetic little bunch of dogs.
Hurry up and come meet our expat crowd here. A few of us meet above the sea for a few San Miguels every afternoon.

[9YearLurker]

“A few of us meet above the sea for a few San Miguels every afternoon.”

That’s exactly how I imagine ex-pat life!

Had you been in the Philippines before, perhaps with the military? Did or do you speak Filipino? Were and are you an EU citizen?

[AlexW]

“Had you been in the Philippines before, perhaps with the military? Did or do you speak Filipino? Were and are you an EU citizen?”
_______________________________________________________
I am an American from Tennessee, and my heritage goes back to Uncle Sam, 1832.
I started International travel in 1999, living in central Europe. My first trip to the Philippines was in 2009. I decided to move here the following year. I now have a Philippine wife and we have one child that is an American as well as a Philippine citizen. There is no need to speak anything but English. My landlady’s husband is from PA. Another good neighbor is from Cape Cod. We have a few beers each afternoon.

[9YearLurker]

Impressive! I’m having lunch with a Filipino friend today, among others, and I’ll ask him about it. (Of course, he’s an ex-pat over here.)

I’ve lived in the UK, but I’m ready for a warmer climate, at least for the winters. I can take my work with me, but of course communications are a little trickier in some places than in others.

[9YearLurker]

Yep, you describe the situation here quite accurately.

[AlexW]

Well, come on over. We will be happy to have you.
Do not worry about communications. We have state of the art here, DSl as well as new cable TV, even here in my providential city. You can ask your friend about my town, Dalaguete, Cebu.

[eartick]

—There is no way that I could live on my SS in the USSA. As an expat, however, I have a very fine life on my minimal SS.—

Why not AW? You married your washing machine and are proud of it. Hey you are saving some bucks right there with your rat tail tucked between your lil rat legs.

Now if you could only marry your grounds keeper, a maid and a handy MAN you would be shittein’ in high cotton (oh that is too American for you); maybe sand piles.

This bloodhound is smelling something and it is a traitorous rat turd.

[AlexW]

Hahahaha,,,you clowns are so funny :)
Try getting your own life.

[WVKayaker]

This bloodhound is smelling something and it is a traitorous rat turd. ...

Wish I could come there to have a San Miguel with you, but am busy here for now. I am heading for Mati on Tuesday, where the Governor of Davao Oriental Province there is touring me and a friend, trying to lure us to also make a facility there. I met her at the funeral of the former Mayor of Davao City a few weeks ago and told her of our project.

Life is good here in Davao City. I live on the beach about 7 km from downtown. The resort is not on the beach, but on a hill overlooking the city. It is beautiful at night.

I still have many friends in Leyte that are trying to recover from Typhoon Yolanda. It destroyed the house I rented there, and I made my move here just one week before it hit there. God is good!

I found a picture of that bloodhound, Alex.

[DuncanWaring]

Enjoy your gloating while it lasts.

This country is the keystone in the arch of Western Civilization, and when it “resets”, it’s going to take the rest of the West with it.

Your electronically-deposited Social Security payment won’t be worth the paper it’s not printed on, and there will be nobody more hated anywhere than the evil Merkuns.

[AlexW]

I know that Davao is a nice city, but I have yet to be anywhere on Mindanao, and can not find anyone that wants to join me on trip to Davao.
If you come to Cebu, let me know.

[nomad]

I wish they`d just let me cash out what I`ve put in and cut me loose with no further obligation to pay into it, ever! I`ll take my chances in the future and agree to be cut off from something I`ve never used anyway, the Gubmint tit. Just don`t make me pay for it, ever again!

[eartick]

Got my own life and a WIFE AlexW not a washing machine.

I love her too much to call her that and have too much respect for her.

How bout you rat?

[outofsalt]

It is often pointed out that social security is running out of money but it is never said welfare funds, in all of their many forms, are running out.

Why is it that a program to which millions contribute compulsorily is running out of money but the others can be expanded?

[outofsalt]

“Medicare Advantage is now being cut...”

Here again, a program funded by compulsory taxation, paid into by hard working folks throughout their lives, is being cut while Medicaid is being expanded?

[outofsalt]

Dalaguete, Cebu

Very blurry on bing maps.

[AlexW]

So sorry that I do not feel your pain..Maybe you can put some ice on it :)