The current pension system is completely unsustainable and is about to become the biggest theft of a generation from another generation now that the baby boomers have started taking pensions.
The pension system was designed to fund people in their last ten years of life when they could no longer work. However, dramatic increases in life expectancy means that it is now funding people in their last 20-30 years of life and the proportion of those in the population in the retirement age bracket is about to sky rocket thanks to the baby boomers.
What makes this worse is the means test for getting access to the pension. The house of residence is excluded from the asset test. So people living in 2 million dollar homes with a half million dollars in other assets are actually earning money from tax payers. This is nothing more then corruption. And whats worse this rort encourages the baby boomers to stay in their expensive 4-5 bedroom homes after all their kids have left to keep their pension coming in. This keeps housing prices high as well and who benefits from that more than anyone else: the baby boomers.
Watch as income taxes go up to fund this rort over the next decade. Hell both governments have already suggested a raise in taxes to fund this. It is just a matter of how much and how quickly.
Oh and guess when the retirement age is due to rise to mitigate this problem? Not until all the baby boomers are well and truly retired and thus wont be affected by it.
Stop complaining about welfare cheats, single mothers, gays getting married (or not getting married) or even money being wasted on out of date submarines. This is the real problem in society. It is time to get angry. The baby boomers are pigs hogging the barrel. They must be stopped.
The pension system was designed to fund people in their last ten years of life when they could no longer work. However, dramatic increases in life expectancy means that it is now funding people in their last 20-30 years of life and the proportion of those in the population in the retirement age bracket is about to sky rocket thanks to the baby boomers.
What makes this worse is the means test for getting access to the pension. The house of residence is excluded from the asset test. So people living in 2 million dollar homes with a half million dollars in other assets are actually earning money from tax payers. This is nothing more then corruption. And whats worse this rort encourages the baby boomers to stay in their expensive 4-5 bedroom homes after all their kids have left to keep their pension coming in. This keeps housing prices high as well and who benefits from that more than anyone else: the baby boomers.
Watch as income taxes go up to fund this rort over the next decade. Hell both governments have already suggested a raise in taxes to fund this. It is just a matter of how much and how quickly.
Oh and guess when the retirement age is due to rise to mitigate this problem? Not until all the baby boomers are well and truly retired and thus wont be affected by it.
Stop complaining about welfare cheats, single mothers, gays getting married (or not getting married) or even money being wasted on out of date submarines. This is the real problem in society. It is time to get angry. The baby boomers are pigs hogging the barrel. They must be stopped.