RE: Winging Your Retirement is No Longer a Reality
Everyone I know who works for the government, does not like their job. They simple work for their pension. When they have bad days, they log on to their pension calculator to incentivize themselves.
I don't foresee the government dropping their pension, but ... it has happened.
In the early 2000's, Nortel, Ottawa's largest employer crashed - the layoffs were weekly. Once the company had totally folded, there was the issue of pensioners. Employees didn't lose all of their pension, but they did lose a good percentage. Nortel Pension Settlement reached
I strongly agree with you ... diversify to mitigate your risk and take control of your own destiny. With automation and AI, job security may be a thing of the past. You need to take care of yourself.
I think it depends on the state really, what they have done in NJ for most unions and government pensions is they now make people pay for certain things like healthcare. Pensions and social security are the biggest cost to the US government by far. With people living longer, they are going to need to figure out ways to cut payments. I think they will probably continue to have people pay more out of their pensions for benefits and increase the years before you can get a full pension. I think you dont really have to worry about losing your pension now if you have one, but I would invest additionally just on the odd chance something weird happens. If it doesnt then you have extra money to retire on, which is much better than wishing you had.
I can't agree more. The same rules apply here in Canada too.