Americans- Living Rich, Retiring Poor with Professor Michael Granof

"I'd like to start off with the good news - and this is about the only good news today. The good news is that you're going to be living longer than your parents or your grandparents," begins Michael Granof.
"The question is, can you afford to? For most Americans, the answer is no."
Granof, a professor of accounting at the McCombs School of Business with a joint appointment at the LBJ School of Public Affairs, spoke to a sold-out lecture hall at the AT&T Executive Education and Conference Center on March 26, 2014 as part of the Texas Enterprise Speaker Series.
Now that the baby boomers are reaching retirement age, the United States draws closer to a retirement crisis. Simply put, the golden years that many Americans have expected may turn out to be more dross than gold.
Retirees may be facing a fiscal tsunami. They have saved far too little in their 401(k) plans to enable them to sustain the standard of living to which they have become accustomed. The Social Security system, while not in as bad shape as some claim, is unlikely to increase benefits, at least not in the foreseeable future.
The pension plans of state and local governments are significantly underfunded. Without significant reforms in our health care system that go beyond the Affordable Care Act, medical costs will most probably increase. The ratio of workers to retirees is certain to decrease thereby requiring that an increasing percentage of GDP be directed toward retirees. We examine the myths and realities surrounding these trends and discuss how they will affect us as both current and future retirees and as taxpayers.
Issues that will be addressed include?
• Why 401(k) plans have not lived up to their promise
• How best to reform public pension systems (and thereby avoid more municipal bankruptcies)
• Can you (and your children) expect to receive promised Social Security payments
• How reliable is government financial reporting with respect to pensions, Social Security and Medicare

[@Blitcliffe]

Retirement is not an end, but a new beginning.Your dedication today will pave the way for a future filled with financial security and the freedom to pursue your passions.Big ups to everyone working effortlessly trying to earn a living while building wealth. I’m 50 and my wife 44 we are both retired with over $3 million in net worth and no debts. Currently living smart and frugal with our money. Saving and investing lifestyle made it possible for us this early even till now we earn monthly through passive income..

[@kurttSchuster]

@@Margaret22- A lot of folks downplay the role of advisors until being burnt by their own emotions. I remember couple summers back, after my lengthy divorce, I needed a good boost to help my business stay afloat, hence I researched for license advisors and came across someone of due diligence, helped a lot to grow my reserve notwithstanding inflation, from $275k to approx. $850k so far.

[@Mcllwain]

@@kurttSchuster Over the following 3 months, I want to increase my reserve from $280,000 to at least $550,000. I would be grateful for any advice you can give on how to accurately predict the market and how to diversify and balance my portfolio in order to accomplish my goal.

[@kurttSchuster]

@@Mcllwain My advsor is NICOLE DESIREE SIMON, you can easily look her up, she has years of financiaI market experience.

[@Mcllwain]

@@kurttSchuster Thank you for this tip. it was easy to find your coach. Did my due diligence on her before scheduling a phone call with her. She seems proficient considering her résumé

[@charliehunnam5187]

I'm not in any even joking when I say that the market crash and high inflation have me really stressed out and worried about retirement. I've been in the red for a while now and although people say these crisis has it perks, I'm losing my mind but I get it, Investing is a long-term game, so I try to focus on the long term.

[@cooperhayes7055]

I cannot zero in on the long run when I should be retiring in 4years, you see l've got good companies in my portfolio and a good amount invested, but my profit has been stalling, does it mean this recession/ unstable market doesn't provide any calculated risk opportunities to make profit?

[@jessicasam2516]

There are a lot of strategies to make tongue wetting profit especially in a down market, but such sophisticated trades can only be carried out by proper market experts

[@mateosantiago5795]

I totally agree, I have been consistent with my profit regardless of the market conditions, I got into the market early 2019 and the constant downtrends and losses discouraged me so I sold off, got back in Dec 2020 this time with guidance from an investment adviser that was recommended by a popular economist on a popular forum, long story short, its been years now and I've gained over $850k following guidance from my investment adviser.

[@allenwilliams5010]

I've been down a ton, I only hold so that I can recover, I really need help, who is this investment-adviser that guides you

[@mateosantiago5795]

If that is the case, it would be an innovative suggestion to look out for Financial Advisors like Olivia Maria Lucas who can help shape up your portfolio. Trying times are ahead, and good personal financial management will be vital to weather the storm.

[@judithgrace9850]

My great grandma lived to be 106 in 1978. I traveled and helped non beggars, so I was never poor, nor am I poor now , and I am 79. Living in Querétaro, Mexico.

[@michaelsang2583]

Most are killing or criticizing the messenger, because they don’t like the message. Great job, quite accurate with lots of facts.

[@kydoctorsforlife8728]

This is an old presentation, and it seems like Social Security's 2013 figures over-estimated the payer to beneficiary ratio. It's worse than what that figure early on in the video suggested. We are already under 2 & 1/2 payers per beneficiary for Social Security.

[@Manx123]

@@kydoctorsforlife8728 Yup, we're ahead of schedule. Good catch.

[@welshhibby]

I find not being married has saved me money and given me peace of mind....BELIEVE ME

[@johnwilliam8366]

i will never get married again............ I have more money now and save more now than ever in 2020

[@glossopharynz]

I find not having many likes hit for this message quite disturbing

[@Creolady925]

​@@glossopharynz Probably because it's assumed that women are driving the spending. immature men can spend just as well.

[@scholaroftheworldalternatehist]

It depends. If you are lucky enough to be in a good marriage where both people work you can be very secure financially

[@redhead8777]

​@@scholaroftheworldalternatehist Agreed except the "both working to be financially secure" is not necessarily true anymore. You are out of touch with 90% of private sector workers, as of 2023. Times were good (financially/emotionally) before women HAD to work to keep up with costs of living & marketing schemes! What's next a reversal of child labor laws? Now, its common practice for young adults to live in the parental home and pitch in for the expenses of it (if lucky) in order to survive without being homeless! Look around. So, effectively that has already been done by our Gov. globalistic policies. Trumps America First agenda was on-point for the security of most Americans in private sector employment. The people lucky enough to be working securely in govt sponsored positions do not seem to have the same concerns, imho. TRUMP 2024! I have never experienced America in such desperate shape, its really scary to watch this. I'm glad you are well though, I hope you are not next on the gov hit list!

[@kennethwers]

Most define benefit plan did not pay out. Companies had a way to get rid of older employees before they could retire.

[@benbenben123ben]

Exactly. Good to see someone comment on this year. Lol

[@mahogs9]

I hate when people ask me what I’m watching on KZbin, because it’s always shit like this

[@russelljohnson2860]

Social Security will not be enough. if you do not have other sources of income (pension or pensions, investments, or adequate savings) you will live poor. It you do not bring home 2400 dollars a month they will not even consider you a good candidate to sell you a car. Being honest many people in retirement today do not bring home 2400 USD and they rely solely on Social Security and Medicare. Many have no investments or savings. Today for people 50 and younger pension plans are becoming a thing of the pass. So now let's count over the years the lost of money of hard working people investing in their 401k plans. Truth is when you decide to retire, Retire ! Enjoy your life. Take what you have make the best of it for yourselves. it's not to help friends or family, it for you to live and enjoy the rest of your life. You !!! yes you are the ones deserving of this. You earned it. That's the way I live in retirement. I tell everyone I'm on a fixed income. Don't ask me. I manage what I have. It has to last me until I'm gone. I let everyone know also. When I'm gone also is the money. Plan your life not someone else. When you plan that way you can see yourself retired.

[@muhammadspeaksnews]

Very underrated statement. Good job

[@alexchavez3244]

The best solution I got put illegals in camps for work and cut they’re check to pay our retirement and social security and that debt man it will fix it and they will choose to go back to they’re country and do what they please man and cut the food for them and rent and let them work to pay all the this shit man simple won’t cost shit will gain more money then lose it.

[@networth8754]

Wealth is the result of discipline and not intelligence. The ability to live beneath your means and consistently investing over the long term especially in a 401 (k) will allow you to retire wealthy. However, if the discipline is missing the individual will be poor. Read the book "The Millionaire Next Door" for the formula.

[@davisholman8149]

Bingo! Proven over & over again.

[@waltertodd4479]

Wealth is the result of discipline of theft!

[@tinabrenner3562]

U need Intelligence for everything in this life

[@ChrisWhite-km2uu]

I make 6 figures yet drive a 21 year old cash car with $50 liability-only insurance so that I can invest and pay off debt. OTOH, there are the "keeping up the the Jones'" types with their leased BMWs and maxed-out credit cards that will be whining at retirement that I need to "pay my fair share" so that they don't have to suffer the consequences of their early spending habits and lack of preparation.

[@networth9151]

@@ChrisWhite-km2uu Classic Ant vs. Grasshopper. They are expecting us Ants to subsidize the Grasshoppers' foolish spending and lack of discipline.

[@georgesharkey6723]

What he fails to say is a lot of people pay into social security and never live long enough to receive it, also the government has been raiding the funds for decades. Talk about a lock box for social security, which never materializes.

[@johnfarragher252]

Is that the same lock box Obama raided to pay Iran ???

[@workingshlub8861]

agreed..biggest scam going

[@bobbiegarner713]

George Sharkey you forget the people are living longer and taking out more than they put in

[@stanley19430]

Destiny tran That is only SSI which doesnt even pay much. You got to be dirt poor to get barely any money. In fact, many illegal immigrant take someone else's social security number to work in the U.S. They essentially pay some random guy's social security and get nothing in return.

[@stanley19430]

Yea, people do pay that much into social security. It is 15% per working person. 7.5% each from employee and employers. I'm sure you are smart enough to know it is extremely rare illegal immigrant raid social security for retirement. The background check itself would get you ICE. The amount of people in SSI from foreign country is also extremely low. 99% of people receiving SSI are citizens working at some point in their life time. Since they did not put in the full social security credit, they cannot get the full benefit. Then if you live with a family, your SSI check will also be reduced further. My grandma (didnt work to get full credit) gets 300 a month. You cannot survive in SSI alone, and you cannot have more than 2000 dollars (individual) in the bank (including retirement). 200,000 is pretty hard to reach for 30 years on SSI. You got to be dirt poor, but then I dont understand how anyone can live with 700 dollars a month alone. FYI, you MUST demonstrate that you are also disabled for SSI. To live as disabled for 30 years on a 700 dollar a month income (2017) by themselves as foreigner is quite impossible. Anyway, I do agree social security needs to be fixed.

[@vcoonrod]

Brilliant presentation. Brilliant man.

[@janeeden919]

I’ve lived in Australia for 12 years now and here there is a mandatory contribution of 9.5% of salary (by the employer) into a retirement fund which can’t be touched until retirement age. You can also increase your contributions to a tax advantage. I have to say I have so much more put away than if I had been left to my own devices. Probably 100% more if I’m honest!

[@davisholman8149]

Jane - what is sad is I bet I have hundreds of thousands more than you do because I COULD DO MORE with what I saved. I put my extra into buying some rental homes & fixing them up. Just the equity increased my net worth 100 fold. I use the rental income to supplement my retirement & do well. Having personal control over my future is important to most Americans.

[@janeeden919]

@@davisholman8149 that’s great! You’re one of the proactive ones and you’ve benefited from the system. However the Australian system is designed with the average person in mind who would likely dip into their fund for ‘emergencies’, not to invest. This is why Australia isn’t facing the same retirement crisis as the US. Also, having compulsory superannuation doesn’t prevent you from investing your take home pay as you wish.

[@wongcw08]

@@janeeden919 Australia is also dependent on immigration to continue to prop up the property market and also keep the taxes coming in, direct and indirect. Without immigration, Australia is in a quandary.

[@garyxyz4400]

@@davisholman8149 while that is good...,not everyone has that skill set. Also many think it is more headache being a landlord.

[@shoobidyboop8634]

Interesting, how is the 9.5% invested? In the US, our mandatory contribution is 12.4%; the money is invested in the federal govt, which promptly blows it. In the future, when there are not enough workers to repay that money, our govt will happily return that investment with printed dollars.

[@missireason8998]

Defined Benefit Plan was managed by the employer, and an asset of that employer. The employer decided the years you must work, the benefit amount, with all of this going away if the employer went belly up.

[@TheCarnivoreSoprano]

I can see a problem straight out the gate, most of us live hand to mouth, not richly.

[@Gregarious3]

SuperPhdiva SRB personal choice bro. Learned from Rich Dad, Poor Dad. I looked to be poor Dad, ended with monthly income that more than covered sons college.

[@MySensualWorld]

Most people live as wage slaves or have no wage at all. Most of the rich are getting richer not losing everything and going in debt.

[@markpicard5975]

Thanks

[@bernie9728]

You don't need a professor to figure out retirement. All you need is a fundamental understanding of 8th grade math. Silly me, I did it the other way. I lived poor and retired rich. I guess that's what I get for not going to college.

[@edsmith4414]

Wife and I both went to college....she used hers as a school teacher, I didn't as a carpenter. We lived frugally, but well...and retired quite well off.

[@bernie9728]

@@edsmith4414 Imagine how much more money you would have if instead of going to college you worked as a carpenter for those years. I'm not saying college isn't good, both of our children are college graduates. I'm just saying it's not for everyone and it's not the only way to become successful.

[@edsmith4414]

@@bernie9728 Well, to expand a bit: I was building houses and going to school winter quarters and nights....so it didn't impact my income all that much. School costs were cheap enough then I actually 'made' a little money from my GI Bill payments. My wife did the same....worked and went to school part time until she got her BS, then got her MS and PhD part time while working. Those degrees advanced her pay considerably (public school system) and increased her pension in retirement. I actually did use my degree. About the time I finished it, home interest rates were 16-18% and pretty much killed my home building business. I taught vocational school for a few years until things improved, and went back to construction work.

[@bernie9728]

@@edsmith4414 I think the key for both of us was long term thinking and the ability to adapt to the situation at hand. Those a skills that seem to escape many people.

[@jamesr.9239]

If this guy is a professor , he should already be comfortable with public speaking .......He Ain't !!

[@mommyheather1490]

Hey you right

[@frederikawells5785]

Welcome to America 🇺🇸

[@Kalarandir]

In general a very good talk, but we can now look back and see what has happened. Unfortunately his solution was improve the economy, C19 aside, the US economy had been booming with greater levels of employment and lower unemployment, but things went from bad to worse. Improving the economy has not worked because the benefits have not been fairly shared with workers. Longer hours and lower pay looks great on the balance sheets and for the S&P 500, but does nothing for the workers. The solutions given are always the same, improve the economy, cut taxes, cut red tape, well that has been the solution since forever, and has not worked.

[@matthewlangley3524]

When an administration (or fresh congress) comes in and cuts taxes and red tape, the economy begins to pick up at the two year mark. The next administration (or fresh congress) comes in and increases taxes and doubles the tape level, the economy responds in about a year. Understanding that cycle of events is just a starting point that you aren't even close to. More than likely by your own choice.

[@davidwilks4123]

Good? It is terrible, and he is a very poor public speaker. I feel bad for the students that have this piss poor excuse for an instructor. He is making countless false equivalencies, at 19:05, he is saying that a $100k salary with $300k in just 401k is not sustainable, but he is ignoring all the cost reductions that would be there for the earner. Due to not having to work, no mortgage, etc.

[@sab5479]

get an education, work hard, save, invest and retire comfortably.. if you don't do it, someone else will come along, learn English and do it! No excuses people, good luck to all!

[@bobbiegarner713]

Sa B oh how easy that sounds you have no clue

[@blackworldtraveler3711]

Bobbie Garner That's actually what I did. Retiring next year 10 years early.

[@victorhinojos3050]

That is what I am doing myself, hoping to retire with a cool 10 Mill :)

[@kingmike40]

Sa B Said "if you don't do it, someone else will come along, learn English and do it" If a person who doesn't know english can out do a born american than who's fault is it if the american fails. That show you right there that America is still a great country. The Americans just don't know how to use it to their benefit. Its not luck. Its planning, and discipline. Most Americans don't do either.

[@Chartoise]

Ah, so macro economic factors don't play any role in all of this? We are just gonna ignore the devaluation of the Dollar with quantitative easing, global market competition and the exploding national debt? Life can be simple, I see. I've been thinking way too complicated.

[@2011blueman]

38:54 What you're describing is essentially the federal governments Thrift Savings Plan (TSP). Every federal employee has a separate account but all the money is invested in a few common pools/funds so the fees are exceptionally low.

[@elmateo77]

Vanguard and fidelity offer dozens of different mutual funds with fees below 0.1%, without having to led the feds manage your retirement savings.

[@stevenpadilla4294]

You got to build a business or create a revenue stream for yourself. There will be no retirement just a downshifting to a less stressful and costly existence. I for one know I will not be able to retire in the u.s.

[@lioneljoseph7360]

EXACTLY! Everyone is hypnotized with retirement instead of creating assets that put money in their bank accounts each and every month. This is why the rich get richer. Instead of working for 30/40 years only to depend on a measly mutual fund to provide for them, the small few work hard at creating wealth. It's simple really.

[@derekfoulk4692]

Would it be considered wise to start planning for an early death if your under 30? I.e buying a gun, some good MRE food for a last meal, taking out lots of debt until the point of no return?

[@Newlinjim]

Derek Foulk many in Japan are currently making that choice.

[@philstev9888]

That is exactly how many many people think-enjoy the moment and kill themselves. They are not wiser to see they alone can change their lot. They rather kill themselves if no one can take care of their problems. How sad and arrogant!

[@BreadAndGatorade]

Derek Foulk if you are going down that road please do stuff like trade on margin, flip houses, etc. You might get lucky and not have to off yourself. Please seek help

[@WhyYouDoThisToMe]

The system has to go. Rome must burn and London must be liberated from its clutches. Only then will the troubles that vex us unto craving death begin to end. We have to keep up the pressure against the system as one united front. Those that perpetuate the system are an extremely small number. We are billions. Why do we let them push us around? We do not need to use their money. We can barter, trade or make our own currency.

[@shoobidyboop8634]

In the slide showing funded ratio by city, would be nice to put a D or R next to each city, for those who by this point haven't figured out the consequences of voting D.

[@byronbuck1762]

One of The worst state pension funds is Kentucky. Deep Red

[@shoobidyboop8634]

@@byronbuck1762 Ah, the brandon voter who thinks an exception disproves the rule. How you liking brandon's inflation? All part of the plan, me boy.

[@byronbuck1762]

@@shoobidyboop8634 Not an exception Trumpkins. Add AZ, GA, OH, SC, AK, MS, AR. All in 15 worst shape. But facts are lost on the party of feral half wits who accept the BIG LIE

[@ericanderson1846]

Cut out the spending on war and aggression and we will get along just fine.

[@TheCarnivoreSoprano]

Eric Anderson they make too much off that

[@alexchavez3244]

That’s the thing Europeans can’t stop man learn history 😂🤦‍♂️💀.

[@nebn3355]

A defined contribution program, with an annuity-style payout, that protects against longevity uncertainty? That's a traditional DB plan by another name, sir. The "contributions" would still be funding an insurance program, which is exactly what a pension is, and the payout would necessarily be LESS than the investment returns to pay the administrative overhead and risk of outliving the average. Plus, the annuity provider owns residual funds when a person dies, instead of the person's estate. DB plans are designed to benefit the administrators, not the beneficiaries. This is all assuming that the administrators don't mismanage or squander the funds, resulting in the underfunding situations you describe. Respectfully, the solution is to ensure citizens understand how to manage their own finances and let the free market work. DC plans allow middle class people to build multigenerational wealth like the rich do. DB plans ensure that the poor stay poor and their life savings are transferred to insurance companies instead of heirs.

[@rocknroll368]

There has never been a separate fund for paying into Social Security during our work years. Your Social Security payroll taxes went into the general fund. The government spent all your taxes. When you retire and want your Social Security payments that comes from today's taxes, government borrowing and government printing of money out of thin air. The government took our wages for social security and medicare, so they owe us a payback. Its not an entitlement. We paid into the system!

[@byronbuck1762]

Nonsense. The Social Security Trust fund is accounted for separately than the general fund. The government BORROWED social security surpluses and now is paying those back from the general fund. It’s called an entitlement because if you earned enough credit years, you are entitled to a benefit.

[@phillipevans9414]

It seems that USA is at least 20 - 25 years behind the rest of the developed world when it comes to retirement income planning and probably further behind when it comes to other social welfare programs/safety net. I wish them luck - the're gonna need it. Huge changes required to avoid catastrophe - unfortunately i don't think they have, or are likely to get, a government with the courage required to make the required changes, before it's too late.

[@phillipevans9414]

My comment was a generalization, doesn't mean there aren't exceptions. Congratulations on being an exception.

[@GuavaConQueso]

Phillip Evans We're behind the rest of the developed world in many areas.

[@Val_kyriee]

With people like Gina Raimundo in leadership positions, it's very unlikely that they will. FYI, she's the same gina who in 2007, managed to convince RI pension, worth about 8 billion, to invest millions into her just established VC firm and managed to make RI pay fees higher than they initially asked for. And yet, she went on to become governor and now secretary of commerce. And we all know how fucked up RI pensions is now.

[@pwu8194]

U.S. government doesn't try to solve problems in any other way except taxation. If it would set up a manufacturing facility to mass produce all needed generic drugs, it would have cut 90% of its medicine cost. Instead, it relies on taxation, and pay an arm and a leg for medicines whose patents have long expired. U.S. government could have created more medical schools to train more physicians to create competitions in the medical field. Instead, it relies on taxation, and pay an arm and a leg for medical services that are the most expensive (but not of the highest quality) in the world. The same can be said about Internet services, and many other high cost things. It would have been a lot easier to bundle electricity with Internet services since they all need cables. But, no. U.S. government doesn't want to do any smart thinking. It just tax, tax, and tax.

[@I_Died_2_Weeks_Ago]

The Financial Industrial Complex - any questions?

[@MySensualWorld]

You forgot the words corporate and corporate power elite, and multinational conglomerates and wholly owned subsidiaries, and global power elite. And did he mention that most people live way below that $ 50,000 a year, than raise the minimum wage to a living wage, and pay retirees that make at the bottom of social security pay alot more than the little they are being paid.

[@mattburns7286]

save one hour's salary per day

[@hanbulban3131]

matt burns not enough

[@lioneljoseph7360]

Still wont be enough...

[@scarpfish]

Assuming an 8 hour day, that's only 12.5%. Most savings and investing experts recommend numbers in the 15-20% range, and that's hard to do for some folks.

[@cramsa]

They are inflating the money away…

[@qones3574]

There's a rule of thumb: a debt is sustainable if the money being borrowed is spent in a way that creates growth greater than the interest. My SS contributions are being 'lent' to the government, and are being spent by Retirees. What we need is some type of way of explaining "*your spending is my paycheck*" to Retirees. If they spend the dollars in destructive ways, we get way less economic growth than if they spend it constructively. If they spend it ways that doesn't grow wages, the SS is harder and harder to fund. If they spend it in ways that destroy natural resources, it's harder to create long-term growth. There *must* be ways that Retirees can spend their SS checks that cause win/win economic incentives in the aggregate.

[@nocoolname32]

that might be one of the most unrealistic concepts i've heard for a long time

[@roseguber3240]

Your contributions are not being spent by retirees, they have paid into the system for 40 years or more; your contributions are being spent, full stop, and so were their contributions..what on? God knows...

[@davidwilks4123]

SS is not spent. It is a fund of money that is used to pay for the SS checks each month.

[@nathanielcarreon5634]

Conclusion; A lot of people have no self control

[@antilogism]

A lot of people never learned it. I had only one teacher, in HS history, that touched on a few basic financial competencies. Those bits of unauthorized wisdom were valuable but still not enough.

[@acajudi100]

Work hard and help others. We can die ar anytime. Pay the pensions! healthcare!

[@shaneamundson1019]

There was no such thing as retirement until a few decades ago. It is a luxury, not a neccessity. If you cannot afford to retire, just keep working.

[@Spiritfba]

Seems like a poor solution when the rest of the westernized first world has figured it out. American worker productivity was at all all time high before Covid so why exactly are the rich getting richer and yet the workers are told to suck it up and work until they die? This is 2020 not 1820.

[@monharris28]

i will have a teacher's pension, social security benefits, 401 k, and IRA. I'm trying to be ready because i just don't want to struggle in my 60s and 70s and i want to be able to do stuff. i want to be old and comfortable as hell. i also don't think i'll be getting married so i need to plan wisely so i have enough to support myself. i don't have kids so it will be just me. imma try to be ready though. it's rough out here! currently maxing out my contributions to my plans

[@davidwilks4123]

Move to a LCOL area like IN, KY, OH. Loads of stuff to do, hiking, fishing, rafting, caves, food, shops.

[@jamessunday8915]

Which one is better? Living Rich and Retire Poor, OR; Living Poor and Retire Rich. I prefer the FORMER to the LATTER for obvious reasons 😀😀😀

[@edennis8578]

With some reservations, I agree. When you're young and in good shape, travel is fun and doing things like skiing, rafting, etc. are doable. Climb those mountains! I did some traveling when I was younger and I'm glad, because now I'm almost 70, and I have the money to travel, but my joints won't let me move very well any more. Carrying suitcases and standing for hours in line isn't in the cards, much less sightseeing all day or anything more strenuous. I took care of my body, but you can't predict autoimmune disorders or arthritis.

[@kdelete4949]

You can do both. Just putting aside $250 a month into a S&P 500 index at 22 and increase that amount each time you get a raise will allow to retire very comfortably.

[@jamessunday8915]

@@kdelete4949 Enjoy this your Single Life while you may. A time is coming sooner than you expected when NATURE will NOT allow you to do that if you want to even before your FINAL END!!!

[@eddenoy321]

@@edennis8578 I feel you

[@eddenoy321]

@@kdelete4949 S&P does crash from time to time.

[@byronbuck1762]

Great presentation but disappointing that his fix is the “growth fairy”. Reality is that our aging demographic and declining birth rates, now well below replacement rates, will retard economic growth, unless we liberalize immigration.

[@cramsa]

Why do you think the government has the open borders policy… these people will become the new generation of worker drones, and they will be more happy with stagnation low wages than a local person loaded up with massive debts.

[@byronbuck1762]

@@cramsa A) the government doesn’t have an open border policy B) Wages for the lower income slice have gone up Faster in the last year than any other segment C) our birth rates are now far below replacement rates so increased immigration is necessary unless you wish for economic decline, negatively affecting everyone’s income D) Many jobs are only filled by immigrants as the native born are too lazy and entitled - field work, meatpacking, janitorial etc.

[@waltertodd4479]

Ain't this the truth?

[@georgegarner1425]

I'm glad to hear someone else telling the truth the older people or taking way more out of social security and Medicare as well then they paid into it this is one of the main problems

[@genxx2724]

No, they paid in for the smaller generation that preceded them. Congress repeatedly “borrowed” the surplus. It should have been compounding during the years they were working.

[@davisholman8149]

One of the main problems with Medicare is they pay for horrifically expensive surgeries that DO NOT WORK - like spine surgeries. To operate on a 70 year olds back is a recipe for disaster. It costs HUNDREDS OF THOUSANDS & 90% of the time, doesn’t help the patient whatsoever. We need to force Medicare to only fund proven expenditures & quit throwing money down the healthcare drain.

[@frankherman5195]

Medicare isnt free! Retirees pay for it every month. Time to look at the freeloaders living on welfare all of their lives and passing that attitude on to their children

[@djack915]

Stop it , you pay into SS , and it's SUPPOSED to gain intrest so by time u get it , it's worth something- a lot of ppl die b4 they can collect too .

[@therealtoni]

Painful to listen to. Plus, the speaker is not a good speaker. That made it worse

[@paulomoniz7326]

At least he tried.

[@welshhibby]

I thought he was fine....don’t be such a drama queen 👸

[@kevgerrells]

Listen at 1.5x speed.

[@maestrovso]

Truth can hurt. He articulate the situations very well with great amount of supporting facts.

[@monharris28]

so he stutters a little big deal

[@acajudi100]

Retire to a cheaper and safer country, when greedy landlords, utilities etc. take all of our income. Run for a political office. Save and the money will be worthless.

[@snakechrmr6398]

I retired to a cheaper, safer country. My total monthly expenses (including health insurance/excluding food) are less than 1/3 of my SS check. Most of my free time is spent these days riding a Harley around Europe.

[@iztherelife1340]

I’d participate in pension if offered. Rare around here.

[@craigcarson9034]

a big reason why people dont max out their 401k contributions is because they cant afford to.....maxing out a 401k is putting over $1400 a month into it...thats doable if you make 100k..but with the median HOUSEHOLD income only being 50k, this means neither husband or wife can afford to put $1400+ away..especially not with the high cost of housing, food, day care and rising college cost....

[@blackworldtraveler3711]

Craig Carson It means smaller house,less kids,used car,common sense,affordable area to live,etc.. Marriage,divorce rape,weaponized child support,etc. to deal with. Up to you.

[@craigcarson9034]

+BlackWorldTraveler...those things arent always the issue....if everyone moved to more affordable cities,those cities would become over populated and the cost of living would rise to the same level as where they moved from..shouldnt have to move somewhere you dont want to live just to afford a quality life..what does rape have to do with saving in a 401k? why even bring that up? as far as divorce, LIFE HAPPENS..cant plan for everything no matter how hard you try..as far as less kids, we arent talking about having 5-6 kids, we are talking about 1-2..that is more than reasonable..child care shouldnt be that high..noone should have to bypass having a family just because child care is over priced....housing is high EVERYWHERE..you have apartments that cost as much as a house...you wanna live in a decent area, housing is gonna cost you...and what does CS have to do with this? stop bringing in useless crap to back up your argument...its too damn expensive to live period

[@blackworldtraveler3711]

Craig Carson Should get out more. Too many excuses. Nothing really new. If you know that life happens you should be preparing for it. Been doing this since grade school saving and investing,emergency fund,etc..... Just going by what I've observed from fellow baby boomers in the past 30 years. No fault divorce. Yup divorce rape destroyed a lot of 401ks. A lot of money outflow to the courts. Children weaponized against you can cost more than $60k in court costs. Rent an apartment on top of paying mortgage for ex wife,etc... Seen it all. End result is they aren't ready to retire and in a lot of debt. Guys starting over in their 50sand 60s. And we make $130k-$160k a year. I left Lockheed SkunkWorks and NASA and cut in pay to work in Tulsa at American Airlines M&E for more affordable living. And full benefits including free global lifetime flight benefits.

[@craigcarson9034]

+BlackWorldTraveler..thats great for you..but dont use YOUR life as a measuring stick for others..everyone has a different story and different set of circumstances..telling a 40 year old who is already married with kids what they should have done when they were 20 does NOTHING for them...

[@blackworldtraveler3711]

Craig Carson This reply wasn't for you and others already married with kids like the ones you describe because it's too late. I'm the type of uncle that have my nieces and nephews contributing to their Roth IRA at 14 years old and more understanding of personal finance than adults. This is a broadcast post more toward others that are not married or having kids yet. Yeah many are screwed if they didn't think things through. Don't live in places like Tulsa and many other affordable areas of the U.S......there are affordable areas in the U.S.. Ones that did are doing fine especially if they realized it's not 1960 anymore when most can get a job anywhere and support 5 kids if you want with the wife at home. Those days are long over. Need to think differently today. Well actually many should have been aware of all of this in the 80s. Mortgage loan rates of 21% should have been a wake up call. Just math and common sense folks. Stay out of that barrel of crabs. Establish a marketable career/trade then go from there. Be extremely careful who you marry nowadays. Heck just having a relationship with a single mother can get you forced child support for kids that aren't yours. Live within means. Have kids you can afford and not start life backwards like most. Positive attitude. Etc.,etc.,etc., Life is too short.

[@georgegarner1425]

This is why we need universal health care plan

[@lioneljoseph7360]

Horrible idea. We need a healthcare industry with zero governmental interference. Do that and watch how affordable health insurance will become.

[@IndianOutlaw1870]

Universal Healthcare == Taxed to Death

[@bobbyb.6644]

Life’s a Beach! This phrase was very popular in the 80s. When depressed just get high🥳🥴

[@davidwilkie9551]

If money is equated with credibility, then there's no way to "set aside" credibility as savings. But if the next generation is taught creditable self-sustaining methods of analysis and applications of knowledge then the value of credibility is stored in mutual respect and trust. (Printing a stated trust in deity on banknotes is a sociological displacement of mutual respect on "the color of your money" instead of a reasonable society)

[@julielehman1921]

This wild beast its its own young. And it doesn't care.

[@exvan3571]

Albeit, it eats its young with Fava beans and a nice Chianti

[@peggyghirardello275]

Now two thousand eighteen it's what worse sir

[@workingshlub8861]

i bought an investment property in my mid 20s and its had good cash flow. it will be paid off when i am 60. i also will have a state pension coming. im not counting on social security. try to live debt free.. no car loans and credit cards etc.. bank as much as you can.

[@Chartoise]

How did you get the money in your 20's to buy an investment property?

[@geoffdearth8575]

Eine gute Frage.

[@TheCarnivoreSoprano]

Chartoise exactly. in my 20s I lived hand to mouth. and I'll be living hand to mouth the rest of my life.

[@blackworldtraveler3711]

Chartoise Probably saved and took comfortable risks. I was working,saving,and buying Exxon stock in 10th grade in the early 80s instead of goofing around and blowing it.

[@Calventius]

good job!

[@ChrisZ70]

He speaks like Rudy Giuliani.

[@jkholtgreve]

Lift the cap. Problem solved. I think even if they raised the cap on benefits as well as taxes it would still be solvent. Whole argument is silly as hell.

[@erikcable1755]

nitrogen kit..gone in 60 seconds old folks...no problem, poor folks

[@billparrish9200]

I don't know what planet this guy is on. Half the US is living paycheck to paycheck, with no opportunity to save. This is sound advice for the 1950's. But it's not the 1950's.

[@Dinngg0]

Paycheck to paycheck living in the best neighborhood they can afford, talking on an iPhone, buying junk at the dollar store, and eating fast food.

[@Dinngg0]

@@hightide4782 I am calling BS. No matter what someone earns, they can save 10% of it. I don't care if you make $10 an hour, you can save $1 of it and live on $9. Do you know how many people are surviving on zero? Lots and lots. If you've ever seen how immigrants handle it... four families might share one house, and pool their money. The entitled generation thinks they "deserve" their own place with no roommate. They are not victims they are just entitled.

[@breakinghouse946]

@@hightide4782 the kool-aid is what America drank in the late 40-60s. Remember there was this little war in Europe that destroyed the industrial world. We were the only one standing. America got fat and lazy and the world rebuilt and did it better. We lost everything and have been living on borrowed time of fake money. Many people point to the 80s as a turning point. There was a reason for it. The economy collapsed in the 60s and 70s. Learn history and economics.

[@breakinghouse946]

@@hightide4782 that is confusing. America already can not afford our life styles. I will give you one example. The steel industry, in the late 1800s early 1900s we were top dog, exporting to the the world. I'm the late 1940s to 50, the world invested in steel production. When they did they used newer more efficiently ran mills, running the US steal companies out of business. Are you saying we should have gone to war and bombed all the higher tech steal factories in the rest of the world so they could not compete? Brilliant

[@antilogism]

@@Dinngg0 I've seen a lot of that! People I've been sure were making 6 figures based on their high-buck toys making only what I make. I can't imaging dumping two-weeks pay on an iPhone!

[@sunlite9759]

Appears to me that Michael is painting all retirees with a broad brush. People have other assets besides 401 plans; mainly their house. If those retirees have paid up shelter the cost of maintaining it is small. If those people must live in high cost areas it is their own fault,. The fly in the ointment is that their kids have come home to roost. Some others think nothing of piling up debt for luxury items. Unfortunately violence has invaded cities and created a huge backlog of foreclosed homes and those areas will only get worse. Can these Cities be saved: Ferguson Mo, Rockford Il, Buffalo NY, Chicago, Camden NJ, Atlantic City, Kansas City,Lynn Mass, Stockton Ca, Rochester NY, Suffolk County LI, Cleveland Ohio, Philadelphia, St Louis, Gary Indiana, Sioux City Iowa, Pittsburgh, Portland Or, Milwaukee, Wilmington Delaware, New Orleans,Tampa, Charlotte NC, Sacramento or Richmond Va? Detroit was the canary in the mine signaling the devastation of American cities. Think not? There is nothing on the horizon to turn them around. Lies and denial of the Violence and lawlessness is baked into the mix and no one has the courage to step forward and call the shots. Cleveland will follow Detroit with a property foreclosure rate of three to one! New Jersey will be the first state to declare bankruptsy; homeowners are strangled with obscene property taxes with no relief in sight. The ponzi scheme in that state will end soon. Suffolk County NY has average property taxes of 10 thousand to 30 thousand for homes in the range of 1300-3500 sq.ft. The ratio of sales to foreclosures is 13,810/5117. This is a looming housing disaster. The ratio for Columbus Oh is 1302/2463 foreclosures. Florida lists 131,848 thousand properties for sale; including 28,853 thousand foreclosures; 18,336 of new construction and another 18435 rental properties. The foreclosure rate in Tampa is one out of every 2 for sale! How much property has violence and disorder destroyed? Billions! It has caused the financial ruin for homeowners, retirees and business destroying both the property and income tax base. Cites are added to this list on almost a daily bases! These cities and towns will never recover or rebuild! Despite the appearance of prosperity the undercurrent is apathy, despair and perhaps regret; the legacy of unintended consequences and procrastination.

[@djpuplex]

There are parts of Tampa and Western Hillsborough county that are affluent and have low violence/crime higher employment and higher property value and taxation it's almost like east/West Berlin, there are nice neighborhoods in eastern Hillsborough but I won't live there.

[@timstacy7247]

TV

[@trumpisaconfirmedcuck5840]

You still need food, utilities, property tax, house maintenance, transportation, clothing, entertainment, etc. Sure it's less with a paid off house but just paying off your house + social security isn't going to make a great retirement.

[@freedomcapitalpartnersllp7458]

Work save invest ... work save invest ... work save invest. Any ?'s

[@stanley19430]

lol...so simple yet so true. But, most Americans are work spend... spend... spend.. work ... spend ... spend ... spend...then....interest on debt....debt....debt....debt...bankrupt...again.

[@TheCarnivoreSoprano]

chan stanley lol false... live hand to mouth. period

[@blackworldtraveler3711]

Freedom Capital Partners LLP Yup worked for me.

[@WhyYouDoThisToMe]

1) What happens when your savings are rendered invalid by a currency shift? 2) You do know that stocks and bonds are literal human slavery, right? Investigate what a CUSIP is and how SLABs work. 3) Slavery is called "work" today because of significantly deprecated wages. Bad advice. You need to make others work for you or you get nowhere.

[@helpicontv9733]

It’s ironic a company that has ‘freedom’ in its name would suggest work/save/invest. Admittedly this is a good place to start, still I find this amusing.

[@redhead8777]

2023 UPDATE: Cost of living has trippled since this presentation. Inflation is eating every extra penny. COVID mandates and NAFTA have caused massive unemployment; at this point people can't even afford to get to work (gas/auto costs). The Government continues to actively make laws against the American worker, taxpayers and SS beneficiaries. Over-spending on questionable expenditures is the norm. SS is not keeping up with the cost of living; it mostly never has. Investments in a 401K are not reliable as related to profit for the average worker/investors. The taxes/fees paid on investments vs. the profit made is not reliable. Life Insurance is a total rip off. We have very unqualified or irresponsible persons in office making policy decisions. The private sector worker is being clobbered on all fronts with ZERO security. The only persons who seem to have some modicum of security are political donor corporations, professionals & government employees. Why is our government crushing 80% of the American population?

[@MrWaterbugdesign]

Doesn't matter. After living a life of bad decisions people would only make more bad decisions in retirement. See it often. We have a strange way of defining "poor". A person can spend $600/mo and have a rich life. Or spend $5000/mo and live a poor life.

[@hermanrogers1325]

Yep that’s right I live poor and I am retired now and still poor but at least I got my mortgage payed off and all 4 of my credit cards payed off and and my car loan payed off and don’t even have to pay property taxes in my state once I reach full retirement.and the amount I get from social security means I am still poor but I am still living and every nickel and dime and two for a penny landlord and investors wants to buy my house and they are crazy as hell if they think I will sell a house that’s payed off hahahahaha hahahahaha yep that’s right hahahahaha hahahahaha

[@Pops2]

Sell it and move to Massachusetts. Really cheap here to live. Lol. What state are you in?

[@RobertMOdell]

I'm 57 and don't have any retirement savings.

[@RobertMOdell]

Taelan. At 47yo, my retirement savings was stolen along with my job. So I gave up.

[@RobertMOdell]

Destiny. I was ready to retire at 47. More happened in 2008 than people realize.

[@estergym5083]

Still have around 13 years of productive life. I would buy gold and bury under a tree, also some guns. Its not safe some argue, but nothing is safe, and im not very much into lending my money to jackals or bankrupt nations with corrupt populists.

[@RobertMOdell]

The "greatest generation" is usually a reference to the WWII generation, not baby boomers. And yes, jobs can be stolen from you. It has nothing about a right to be employed.

[@IndianOutlaw1870]

In all honesty, my experiences with the "greatest generation" have not been all that great.

[@Football__Junkie]

The 401k mandated limits do not allow an individual to save enough money for retirement. The presumptions of stock market earnings are misleading. The effects of asset inflation, changing tax brackets, increased costs of elderly healthcare are meant to part retirees from their money

[@blackworldtraveler3711]

FootballJunkie No issues with my 401k. I'm retiring early.

[@edennis8578]

A lot of it depends on who is managing the 401k. I've been through 3 different investment firms because of a change in corporations for my job. The first one ripped me off; when my 401k changed to another firm, they suddenly "found" 120% more money than they had been saying I had. The second one hardly grew my investment at all. The third one, however, has grown my 401k more than 50% in one year. Not kidding. I'm giddy.

[@aeroeng22]

There's flexibility if you get rid of all the Medicaid and welfare. We're going to have to make some hard choices. Zero out defense, and all you get is about $800billion to work with. But that disappears in a couple of years, as government medical subsidies continue rise at rates much higher than inflation. You can't get there if you don't cut SS, Medicaid, Medicare, and welfare.

[@theflaca]

Is it just me or is guy really crap at speaking? The sound of his voice is really annoying and he sort starts and stops, jumps around and fills in too much content. I haven't really listened to anything beyond 10:00 mins

[@welshhibby]

You must have a short attention span....

[@ballroomdancer02]

theflaca it’s you.

[@HeritageWealthPlanning]

Let’s see , there is NO difference between someone who is 65 and someone who is 85. So let’s lump them all together to get an average or median. 🤣 Silly.

[@obcane3072]

Don’t retire at age 65. Just keep working until you are physically incapable of working. Plan as if you are not going to receive SS benefits, because you won’t.

[@networth9151]

Investing in Crypto is not a long-term strategy. Too much volatility and only cult-like acceptance. I have a residential real estate portfolio which has appreciated 5% each year on average while delivering positive free cash flow ROI of 8% along with the utility of shelter. Unlike Crypto, residential real estate cannot be created out of thin air.

[@DrDRE4391]

Mandating a living wage will help a lot. For anyone not believing in raising the minimum wage should see: kzbin.info/www/bejne/nn2Yh4Klp75sptk . At 7:44, If you can’t afford to pay your employees a living wage, you shouldn’t be in business. ...If you can't pay them more, you are exploiting people by paying them poverty wages. If a living wage doesn't fit into today's economic puzzle, then isn't that a failure in the Capitalistic system? Don't get me wrong, I still believe Capitalism is the way to go as it gives people incentive to push themselves for improvement and to work harder. But, something is drastically wrong with the present system. It must be realigned. When employers get away with paying poverty wages, even to those working 8 hours a day and they are eligible for government assistance, we end up supporting them anyway through our tax dollars. There was a time (ended in the early 80s) when you could go from High School to a factory manufacturing job and do well. Those jobs have moved overseas. And it wasn't the workers decision to do so. How many of those jobs that went overseas were because the workers decided, “yeah, send my job overseas”? 0 - zero. How many of those jobs that went overseas were decided on by republican CEOs? Probably greater than 90%. It was the business owners, CEOs and board members who sent our jobs overseas for cheaper labor yielding greater profits. Reagan was the beginning of the trouble we see today. He ran on the National Debt being too high. He said a trillion dollars would be a stack of one thousand dollar bills nearly 67 miles high. It was 738 billion when he began. It was 2.1 trillion when he left. And those are 1989 dollars. He lowered the taxes on the rich and stated "a rising tide lifts all boats" and "it will trickle down" to the lower classes. Well, only the yachts were lifted and it did not trickle down. It began the inequality of income and wealth that we still see today. The republicans are still promoting trickle down economics. Reagan did get the Berlin Wall to fall and he deserves many plaudits for that! But, he was the start of income inequality. You will see that much of the separation between the top 10% and the rest (90%) started in the early 80s when they lowered the top income tax rates. Most all of the money in the last 4 decades has gone to the wealthy who saves, invests in the stock market, and doesn't need to spend it into the economy. Their greed for more has depressed and kept wages down for decades. The monied used to spend any excess money in new businesses, factories and to retool the manufacturing sector. Since we don't produce consumer goods on as wide a scale as we did in the past, it just gets "invested". What they've done is moved their factories or shared their intellectual knowledge (as well as, production equipment, materials, factory management, advertisement, and distribution knowledge) for cheaper labor. They then sell those goods for a hefty profit here in the US. What they realize now is that we have given away the golden goose. We've taught China and other South Eastern Asian countries how to compete and they don't need us as much any more. They have different laws on intellectual knowledge including patent rights. Their philosophy is if they can improve upon an existing product, even essentially "copying it", everyone wins. What the US needs is to fix the inequality gap that is the highest it's ever been, even exceeding the end of the 1920s.

[@plebeian_egalitarian]

This guy is a distracting stuttering presenter. Good info though

[@pokerchump25]

There are plenty of 'rich'. Jeez look at what pro athletes make

[@gastonave]

Seventy percent of NFL players are broke within 3 years of retiring.

[@mkfaruki]

Granoff stuttering, hesitant, confused, parroting plagiarized work. He does not know what he is talking about.

[@fredphron]

He needs to take a class in public speaking

[@situated4]

Wow. This guy needs to friggin' retire!

[@Val_kyriee]

The importance and relevance of the subject matter being spoken on aside, I don't think I've heard a speaker as irritating as this man. Gulping air and saliva and stammering and stuttering. He shouldve hired someone else to speak his words for him.