@Garrett it's the only viable way for millions of Americans to retire.

@Garrett yes.

Well said. I never thought of it that way.

I mean its the same with pensions if the company's finacial prefoemance is damaged then your pension is at risk. Admittadly its not as directly connected to the stock market but corporate profits do have a bearing on pension funding.

I disagree with 401k's putting things in line with capitalists. This feels like a bill of goods being sold to people by both investment companies and the publicly traded companies being funded. You are basically lending your 401k money to capitalist companies with minimal insight into the company or control. I'm willing to bet that 99% of 401k participants have no idea what they are investing in. A true capitalist is the business owner. The only true way of creating capitalist employees is through ESOPS, Employee Stock Ownership Plans or Worker Cooperatives where individuals are ACTIVELY engaged in the success and failure of the company. This aligns both employees, management, and ownership. Rather than one group, be it employees or owners trying outsmart and outmaneuver the other by extracting resources.

Mine was 8.16%, I used to dca into etfs but I reconsidered the strategy since I am still way behind after the massive downturn since Jan last year

Be careful not to be lured into the market too soon, this current situation has really opened my eyes to the importance of a good mentor on KZfaq or elsewhere knowing what he/she is doing.

the size of your retirement portfolio will overwhelmingly be a function of the performance of the stock and bond markets between now and when you start withdrawing from it.

Private investing is the best way to go about the market right now, especially for near retirees, I've been in touch with a wealth manager for awhile now netted 370thousand this downturn, made it clear there's more to the markets than we average ones know.

@@benalfredo who is this manager you use? I lost over 50000 already this year on Vanguard. Im in need of guidance from a financial-planner going forward.

True. And if Bush had his way Social Security would have been wiped out in 2008 and I, who have been collecting it since 2018, would have had nothing. We seniors may not do much, but we do VOTE.

That would have been nice to do away with Social security. I could keep more of my money and decide where to invest it myself. Instead I am FORCED to pay into a system that will likely be bankrupt when I go to collect. Plus, I could use the money now.

@@aschu234 Nonsense! Our politicians borrowed from the funds to pay for Korean and Vietnam Wars. Otherwise, the fund would continue for another one hundred plus years. Second, the fund was supposed to accrue interest, but they failed to do that. Our politicians continue to undermine us, then blame the very institution for all our ills. It's time to kick these bastards out of office and get money out of our politics. We can't allow a minority of powerful and rich individuals from undermining our Democracy.

@@williamamely7038 nonsense? What did I say that was wrong? They are gutting it and I wont receive the benefits despite paying into it. And it is the crooked politicians that are doing it. I don't want any system that gives elected reps more power over my choices and how I spend my money.

@@aschu234 I thought you didn't see what they were doing to it, and just supporting their narrative of FREE money, whether discussing Social Security and Unemployment Insurance, even though we have been paying taxes for those benefits. I now better understand your point of view.

There’s more benefit to holding fixed-income assets in tax-deferred retirement accounts as opposed to taxable accounts. If you're not who understands strategies to invest in the market, seek a Financial advisor to guide you.

Having an investment adviser is the best way to go about the stock market right now, especially for near retirees, I've been in touch with a coach for awhile now mostly and I made over $800K within a short time

@@maryHenokNft How can I reach this adviser of yours? because I'm seeking for a more effective investment approach on my savings

My advisor is *Camille Alicia Garcia* she’s highly qualified and experienced in the financial market. She has extensive knowledge of portfolio diversity and is considered an expert in the field. You can check her out online. She has many years of experience and is a valuable resource for anyone looking to navigate the financial market

I am going to look her up, I have about $81k i want to start with, might be small but it's better than nothing though. Since the 08 crash is playing out again.

Eddie,I lucked out too. I agree employers don’t care .I’m a retired RN from a Florida County teaching hospital . My pension is part of the state retirement system.Fortunately, I was grandfathered into the old system when changes came to the hospital pension program in 1998.My former employer left the state retirement plan and then changes came to the Florida Retirement System ,July 1,2011, by the then governor. The current state pension system enrolls a new employee into a 457B plan ( public 401 K) and one only has 8 weeks to notify the state they wish to be enrolled into the monthly defined benefit pension plan. When I stumble across a newbie who may be a newly hired Firefighter,Paramedic,Corrections OfficerI always advise them to take monthly pension. I also have two daughters who are nurses,advised them the same way. I retired from the bedside 7 yrs ago at 55, and have been receiving my monthly pension since. I claimed my Social Security benefits at 62, so I’m not rich but ok and mostly very fortunate that I went that path.

Shame. They couldn't be able to do that with a 401k. Shoulda gone with that.

Me and my coworkers just had a union meeting a couple of days ago regarding higher wages and our pension . One of the things our stewerd brought up was for us to continuously update our education and attend the classes at Union Hall for various subjects ! And he's right ! The more certifications I get underneath my belt the more I'm worth to any company and the more I have a right to ask for in My Pay !!!

Social Security may not be around in 2034 so make sure you have a savings account too!

Pensions are the best, I’m a retired RN and have been receiving mine the last 7 years

@@kathaiti It will be around unless we get a bunch of hard core Libertarians controlling the Senate and Presidency and decide to move fast to get rid of government programs. The likelihood of that happening is close to 0%.

@@calliet You are an idiot to assume somone would take advantage of the system. If you look at actual statistics you will see most people don't try to game the system and taking away pensions because of a few bad apples isn't fair to the vast majority of workers. It is also harder to fool the union than you think and there big consequences so most workers would not be stupid enough to try. Electrican work involves getting up early, driving around alot, working it extreme heat/cold, breathing in toxic dust and risk of injury its not something I'm going to do electrician work longer than I have to my health and saftey is more important. My friend modified his DVD player to play DVD's from any region and he buys much cheaper Chinese copies of popular movies. He is the type to never break a rule in his life and didn't want to go around the system but when US DVD's cost $50 and you have to wait a year or a DVD to be avalible he said enough is enough. The point of my DVD rant is the harder you make it for someone to retire the more likely they are to cheat the system and if it becomes too hard to retire they almost have to cheat. Getting rid of pension would actually make more people take advantage of the system.

Not true for all pensions. My state pension fund is over $400 BILLION. I am 70 have been retired for 7 years. There is little fear that in my lifetime my pension will disappear. All pensions are different.

I did the same thing at UPS in February of 2018 after 22 years. The Christmas season of 2017 was unusually hectic to the point where the company had pinchpoints that they had no way of handling, this was the first time I had ever seen anything remotely close to that in my time there. I had plenty of questions but got nothing, no answers, no leadership, only uncertainty and in the end the underlying message was... Be thankful you have a job that offers you healthcare and a pension. That January the stock price shot up sky high and I sold everything, made a quick retirement and rolled my 401k into a Roth IRA account. I was lucky since me and my wife have no kids or plan to in the future, plus she has a decent paying job and her employer offers healthcare to their spouses. Now I am 43 retired from UPS and working from home, no stress, I pay less now for better healthcare plans and I can move on to a better career at some point and work to my pension age doing something less stressful and not involved in such a rat race

Me too.I have a state pension because I worked at a county hospital. I had the years ,so I could retire early and did so at 55.Now at 62 I am receiving my Social Security benefits.

At the expense who? Way to leave future generations saddled with debt but as long as your living the high life so be it. I’m sure your all for sustainable environmental choices though….

@@anthonysanlucas6437 I don’t live the “ High Life “ as you assume. I earned my pension and Social Security benefits,so fuck you pathetic millennial !

Now the market has been in a slow decline since New Years, 401k’s are down 15-20%, fuel is darn near tripled, and inflation is nearing 10%. Best of luck to the people retiring right now, specially with this administration who thinks they can spend their way outta trouble like FDR 2.0

He does not seem stuck. He has a broader perspective. You're the one who seems blinded by the propaganda over the past 50 years. Trust me. I went to business shool at Ohio State. I was blinded too. But ask yourself some honest questions. How many crashes and inflationary events have we experienced since 1970, when the new order arose? How many booms and busts? How many shocks which resulted in more and more monopolistic control over our local economies? Which leads to the real question: How is a capitalist system that unstable superior to the system we had before then, which is similar to the more stable outcomes still produced in countries that still employ the New Deal model of regulated capitalism and generous safety nets for the people? Places like Sweden and Denmark? Wolff is an informed critic... whose Ph.D. classmate was Fed Chair Janet Yellen. His logic is sound, and his perspective reaches back in history, to well before the neoliberal system that rules the world today. I'd say that, for perspective alone, that makes him valuable. That he uses an entirely different and well-reasoned set of tools to analyze economics makes him an interesting resource to follow. Better by far than traditional economics pundits, like Krugman, Friedman, etc. Again, there is no firm answer. But the question, if looked at honestly and critically, is important. The lives our children and grandchildren live will depend on such honest assessments we make NOW. I've come to the conclusion that FDR's New Deal at 50 provided a much better standard of living than 50 years of Supply-Side Reaganomics.

You can direct your money managers to invest the money into whatever you want them to invest in. It's your money. I'd tell them to get all of your money out of stocks and to invest in US Government bonds.

...and what is safe under total collapse?

@@harrymuhammad9835 if the stock market was to have a entire collapse and no longer exist then you have much bigger problems to worry about than a retirement account.

it makes sense that youre poor

Makes sense that youre poor. Hate to break it to you lifes not fair and noone is gonna take care of you because you are stupid

joyceann011 Real talk. So what are you guys doing with your money? I understand the concern in investing, like Garret says, in low fee diversified index funds, 401k, IRA, whatever, but if you don’t want to play the game, how do you plan on retiring? I’m actually looking into this stuff now bc I’m 35 and just cleared all my student debt and I realize I haven’t planned for my retirement at all and wtf am I supposed to do at 55-65 years of age? Keep working in a restaurant?

Garrett I don’t get shit through the restaurant. I’d have to open a Roth IRA on my own which I plan on doing. I’m worried about being responsible for where the money goes though. I don’t wanna screw this up lol. Where do I save money that exceeds the 6,000 a year I’m allowed to put in a Roth IRA? Some kinda cash value whole life insurance? 401k on my own? SnP 500 index fund on my own?

Garrett and thats the difference i 22 came from trash and have only 12k invested in retirment while working in the military. Hypothetically if i make my 8% annualized return while working my ass off and growing my portfolio am i now the asshole? Am i now reponsible for taking care of the 35 year old who didnt think about their retirment. No. Im not. I planned. I worked. I didnt expect someone to take care of me.

Perhapse more social security is a preferable solution

Have you looked at your 401k since then? Lol theres volatility but in the very long term it will probably keep growing 9% annually

@@TheVoiceTalk they have not given us a choice to switch yet

J GALT, voting doesn't matter when you have a choice between a turd sandwich and a total douche. Not voting sends a better message when it comes to those elections where both parties (and 3rd parties) are corporate lackeys.

@@skynet4496 I am certainly not in disagreement.....and "to conquer, first divide" is still a cheap and effective strategy.....with the various factions, doing most of the work. But given the present reality and the number of those not voting + the "independent" voters.... a unified anti-incumbent voting strategy might be more effective.....especially if it also, excluded both democrats and republicans where ever an alternative choice was available.....I mean if we are going to do chaos as well as corruption, we might as well make it as expensive as possible......and rinse and repeat, as often as possible, because it can't get much worse....

@@jgalt308/videos Good point... I think that's why people voted Trump as a f u to seriousness. What's next, a clown for head of hollywood? lol

The government isn't part of the picture here. The only thing they can do is to increase social security benefits and the taxes associated with it

@@shaunrosenberg4568 Well if FDR hadn't confiscated the "real wealth" of "the people" in 1933, and discarded the "constitution" in 1939, while substituting a "de facto" fiat money system, which was finalized in 1971, and foisted on the rest of the world...then you would not be dealing with the consistent inflation that became a simultaneous effect...requiring constant adjustment due to "rising" costs while altering the "business cycle" from its normal inflation/deflation periodicity...which discouraged saving and encouraged debt, since it could be paid back with currency of decreasing value. And experiments with "fiat" money, even when "sound money" was in place, produced this inflation...but the basis of "sound money" limited these effects, and the currency slowly recovered its value...and this was true for every event in US history, starting in 1776...and continuing until 1939. For example, the war of 1860, introduced fiat money printing to finance it, and total inflation hit 95% in 1865, and then slowly recovered its value by 1896...the cycle began again in 1899, and peaked in 1926, with total inflation being 115%, and then recovering to 67% in 1939...and from this point the game was over. From 1939 to 1972, the inflation rate was 300%, and doubled again by 1982, to 600%, and then another 50% by 1990, to 900%, and from then to 2018, another 100%, totaling 1800%. ( and in this last period, the government began playing with all the "numbers" so real inflation has been grossly underestimated ) Now this is just the effects of government policy in one area, and everything you are experiencing is the result of government...and this singular event...whose results were taking the "largest creditor" nation, to the largest "debtor nation" by 1982, and the most productive economy, to one that produces very little, if anything, and whose "system" is one of non-productive "rent seeking" in the F.I.RE sector, and no matter what rhetoric is used...it has nothing to do with "capitalism" because "nothing" is being produced. So the government is not only part of the picture, it is all of the picture...and none of it is "constitutionally legitimate" a fact which has escaped all of the "talking heads" regardless of "profession" even though, everything they do "pontificate on"...are the "effects" of this "illegitimacy". "But when a long train of abuses and usurpations, pursuing invariably the same Object evinces a design to reduce them under absolute Despotism, it is their right, it is their duty, to throw off such Government, and to provide new Guards for their future security." "Government is not reason, it is not eloquence, it is force; like fire, a troublesome servant and a fearful master. Never for a moment should it be left to irresponsible action." If you supposedly have the "right" to the redress of grievances, what are your options, when the arbiter of that fact and its resolution, is the actual cause of those grievances?

If they are in power when this ends they will come after the social programs as well.

@Garrett I presume it is because some people are reminded of driving a new car off the lot. It loses value immediately. Obviously that is not the case. Rather it only means they can buy more accessories.

And since its bounced back, you shouldn't zoom in to one data point. There probably will be crashes again but so far the market has continued to grow long term.

How about a system that doesn't force anyone to depend on greed?

Being reasonably close to retirement and finally working at a job with a pension I can tell you that this is BS. How will I plan my monthly bills without a regular pension payment? A two month drop in my income because some rich people have crashed the market "temporarily" does nothing to pay my medical bills, food or rent.

Pretty important to remember that both options are ultimately terrible but one at least guarantees some ability to pay for living expenses.

@@dinnerwithfranklin2451 I'm sincerely sorry for your situation. As someone close to retirement, your financial advisor or fund manager should've put almost all your money in low market risk assets such as government securities. This is the standard investment strategy for people in your position.

@@papilleon1957 the average lifespan of a company is now around 10 years. Down from very high numbers in the 50s. For many younger folk, security is actually much better with DC. I simply do not trust ANY company to be looking after people for +20 years as retirees.

But do you really trust the government? Dont they have a history of lying to us an misallocation of taxpayer funds? I would rather keep my money.

@Nota Bene wow. Thank for showing your lust for power and violence. I disagree with you on certain aspects of gov/economics and you think I should be murdered for it? Seriously... WTF is wrong with you?!!?

We already have social security

Well, we could just pay more to our workers now, perhaps give buy them stables like housing etc upon retirement in order to help minimize costs incurred during retirement.

Being a millionaire doesn't really give you any benefit here other than bragging rights. For example, if you have $1 million and you believe you can safely pull out 3.5%/year that is $35k/year. That $35k/year is what matters. What is that compared to the pension?

@@shaunrosenberg4568 that the principle balance continues to grow.. money invested doubled every couple of years so that $1million becomes $2 million and then you when you take out 3.5% now you’re taking out $70k… and it only grows from there.

@@Bfolks84 Yeah. Some pension increase with inflation. And if you're taking out 3.5%-4% a year that's going to make it harder for your money to double. Don't forget it's never a guarantee in the stock market. If you retired with $1 million in 2000 and had your money in the S&P 500 and took out 3.5% a year you would have probably around $300k by 2013. The market was essentially flat for 13 years all while you were taking out 3.5% a year. So 401ks have more potential and pensions have more safety.

@@shaunrosenberg4568 yea but after that the market saw some of the highest returns. Even the correction after Covid we are still seeing some great returns. If you would’ve kept your money in till now you would’ve surely had more than a million !

@@Bfolks84 Yeah. Provided you weren't taking money out every month. Taking money out of your portfolio is going to really bring down your returns. The idea of the 4% rule is if you take out 4% and adjust for inflation your portfolio should last 30+ years in a portfolio diversified between stocks and bonds. Whether you have more or less money after those 30 years depends on what happened in the market during that time.

@Garrett I'll save my own way. By the time I come to retirement, I doubt they'll give people a good return anyways. And SS will probably be gone. The system is rigged to have people work as long as one can with little to no benefits. Then we look at the fact 70% of Americans live paycheck to paycheck. Tell them to take some money out each week for retirement. To them that's not even an option.

@Garrett personal behavior doesn't put more money on the table for some people. 44% of Americans make under $20,000 a year. And that's before taxes. Which forces people to borrow to get by. Again by design. We live in a country where some people don't even have clean running water. In America. Are you gonna say them not having clean running water is a behavioral choice? It's great if you're doing well..But don't ever conflate that into well everyone can. That's not how the system is. If it were it wouldn't be called a system. There are people right in this country that have to make hard decisions in life. And giving Wall Street some more money to play with in hopes of having something down the road isn't one of them to many people.

401k are better than pensions be cause its more diversified what happens if your employer goes bankrubt? Not only will use lose your job but also lose all your retirement.

Lol wrong