Sunday, August 29, 2010
Underfunded Pension Plans Threaten Retirement—The Future is indeed Ugly
Chicago, IL—Public employee pension plans showed promise of being superior to Social Security. Most public employees have paid little or nothing into Social Security and will be able to claim nothing from it. If the pension plans fail these people are in trouble for sure.
Local government retirees are facing a real nightmare. Public officials gambled and lost pension funds through questionable investments made to companies that may have deliberately failed. The investments made to connected firms do not pass the smell test.
The pensions of thousands of workers including cops and firemen are seriously underfunded. Other economic woes threaten the funds even further and the result could involve Bankruptcy. The plans can file for Chapter 11 and that would allow them to submit a plan that reduces payment by 50% or even more. That with the inflation we can expect will wipe out the purchasing power of the retirement funds.
Retirees have a bleak future that could financially devastate families plunging them into abject poverty. That is happening as the Social Security Ponzi Scheme has run out of other people’s money and government officials are trying to determine just how benefits must be cut.
The children of the retirees are already in debt up to their necks and won’t be able to do much to help out. This frightening picture is a Socialist dream, come true since they will use the crisis to sell their Bolshevik garbage to people that are suffering and hungry.
I don’t expect the men of the Baby Boomer generation to gracefully take this kind of punishment. They are for the most part well-armed and trained and have little to lose by violently resisting Socialism. The reality is they will efficiently and proudly kill Socialists at this stage of their lives as they defend and protect the American Constitution. If there is going to be any redistribution of wealth it will be with dead Socialist’s assets through the spoils of Civil War.