Ghilarducci said. “What is surprising is that all the effort of the government and the changes we had in the last 40 years has not helped middle-income workers.”
I’m deeply curious what “effort” they are talking about. The article was quite clear that the US just have continued, and improved upon, its long standing tradition of “fuck you I got mine”.
Moving over the responsibility for pensions on the individual.
Increasing the wage gap, and I bet when they say high earners that value is skewed but and low number of very high earners.
Tax rules that only help the ones who already are rich.
While we generally lost value in the switch from pensions to 401k/IRA, there’s a huge benefit to ownership.
— A pension is owned by your employer. If something happens to them, your pension may be gone. You don’t get anything if you leave a company before you’re vested, and then you start a vesting period over with nothing
— 401k/IRA is owned by you. You take it with you when you change companies. They can’t weasel out of it because the money is yours immediately. You keep your money regardless of whether you spend your career at one employer or many
I dont find that surprising at all
I’m deeply curious what “effort” they are talking about. The article was quite clear that the US just have continued, and improved upon, its long standing tradition of “fuck you I got mine”.
While we generally lost value in the switch from pensions to 401k/IRA, there’s a huge benefit to ownership.
— A pension is owned by your employer. If something happens to them, your pension may be gone. You don’t get anything if you leave a company before you’re vested, and then you start a vesting period over with nothing
— 401k/IRA is owned by you. You take it with you when you change companies. They can’t weasel out of it because the money is yours immediately. You keep your money regardless of whether you spend your career at one employer or many
It is a false take. More people are helped than before. Sure pensions are down, but 401k plans are far more common.