[nicolashahn]

So close! Pensions are actually property taken from the younger generation and given to retirees.

[pmg101]

I think this is just the word "pension" being overloaded, meaning both

1. A state provided welfare benefit Or 2. A privately held long term savings/investment account

[m4rtink]

Isn't it essentially a thanks/appreciation for what the people built once they retire ? Without theire work, there would be nothing for the younger people to use and benefit from.

Would not be very motivational if you work hard your whole life and then you are considered a useless burden once you retire.

[bee_rider]

I’ll take the thanks/appreciation in the form of wages instead, thanks!

[jxjnskkzxxhx]

Its not "so close" - the pensions that I'm familiar with are exactly what I described. They're basically a special tax treatment for my assets.

[jltsiren]

And capital gains are actually property taken from the workers and given to capitalists. In both cases, the recipients have magic tokens that legally entitle them to some of the value created by other people.

I don't know how this works in other countries. In Finland, it was established decades ago that pensions based on past contributions are constitutionally protected private property. Because people made explicit pension contributions and because the government promised that the future pension would be based on the individual contributions, the government can't alter the deal substantially without a constitutional amendment. If the contributions had been general taxes, or if the promised pension had been independent of the actual contributions, ordinary legislative process would have been enough.

[jonathanstrange]

Those retirees have been paying into the pension system their whole life.

[mattlondon]

So have younger people too, just their life has not been as long (yet).

The way it usually works is taxation from the current working generation pays for the current retirees. You are not paying into your own account for later (that is a private pension)

FWIW in the UK there are more children in poverty (so their parents too) than retirees who are in poverty. Kids don't vote though...

[budding2141]

Yeah, but they paid a vastly lower percentage of their paycheck than people nowadays do (at least here in western EU)

[Ray20]

Another reason not to repeat their mistake.

[carlosjobim]

It's much worse than that, it is indebted servitude being done to the younger generation.