Mastodawn

evatronic Aug 4, 2023

This is the same demographic that overwhelmingly votes for Republicans. I am finding it very hard to empathize.

That said, perhaps this train wreck will serve as an object lesson for the next generation about creating and maintaining social safety nets.

InverseParallax Aug 4, 2023

Agreed, the boomers are finally suffering after all the cruelty they inflicted on us.

Let me find my champagne.

This isnt just boomers, it call into Gen X too.

Boomers: 1946 to 1964: 59 - 77

Gen X: 1966 and 1980: 43 - 57

"Only 1 in 10 low-income workers between the ages of 51 and 64 had any funds put away for retirement "

InverseParallax

I’m young genx, I hope we’re not that stupid, we should have learned something what with Boomers trying to scam us literally every fucking day of our lives.

But if they haven’t, whoops, another point to Darwin.

What gets me riled up is I work w/ a bunch of GenX and some don’t even contribute to the 401k that is matched 6% (aka FREE MONEY). I just don’t get it, my leave money on the table. Go low risk if your not sure…

InverseParallax Aug 4, 2023

It’s not that…

Boomers legitimately never imagined they would get old, in their minds they’re all like Trump, stuck in their flush of youth, they are Al Bundy still celebrating his 4 touchdowns in one game on permanent loop.

And sadly, while they abused the fuck out of us, some of us caught that same disease.

Do you know if they have the economy to actually “loose” 6% of their salary?

It might be “free money” in their retirement fund but they still have to afford to actually add anything to it.

He owns 2 houses and a plane, plus gets disability from the military (I have no issue w/ tat but an additional revenue stream)

Ah yes, I see your point. They really seem to be able to make different choices with their economy.

Its found money, it makes no sense. Even if I was struggling w/ my pay I would try to throw in 1-2% to get the matching.

Okey, so now we’re back in the hypothetical. So you’re saying that even if you were living paycheck to paycheck and and had to choose between saving and giving your kids food at the end of the month you would still choose to save?

Don’t have kids if you can’t afford them.

thetreesaysbark Aug 4, 2023

Whilst I agree with that sentiment, situations change and a person who was once well off can find themselves in a position where they have to make tough decisions between providing and saving.

Say that to the person living in a state without a functional sex-ed in school and/or abortion is banned.

Or as someone else commented, situations change. Believing that someone can make a plan that is guaranteed to not go awry at any point during the, at least, 18 years they have responsibility for a child is borderline delusional.

But you still didn’t answer the question: Would you save for your pension or feed your kids?

dude Aug 4, 2023

Assuming it’s a 1:1 match and is immediately vested they would technically still gain more money by contributing, immediately withdrawing all of it, and paying the associated taxes and fees.

So it’s definitely possible they’re leaving money on the table either way.

Interesting, didn’t know of that possibility. Is it also possible to withdraw just a part and save some “for free”?

I’m not from the US so the exact workings of your pension system is a bit beyond my expertise 😊

AA5B Aug 4, 2023

No.

Typically

employer matches have a vesting period where it’s not yours to withdraw
actual withdrawal means paying the taxes you skipped plus a penalty
loans can be useful, but you have to pay yourself back and meanwhile that money is not invested.
loans have a low interest rate, so your loan to yourself is making almost nothing compared to if it was left in an investment
loans need to be payed back immediately if you leave the company for any reason, otherwise it’s an early withdrawal with all those taxes and fees