Join Early Retirement Today
Reply
 
Thread Tools Display Modes
Old 10-04-2011, 05:25 PM   #41
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
haha's Avatar
 
Join Date: Apr 2003
Location: Hooverville
Posts: 22,983
We can cure this pension problem immediately.

Just fire all private sector workers, and then have the governemnt rehire everyone with federal or state pay scales and retirement provisions.

Voilá- problem solved. Also, with the higher government pay scale there should be better income tax collections, and with thoughtful early retirement provisions of government work we should cut down on unemployment and open up jobs for more young people and minorities.

Ha
__________________
"As a general rule, the more dangerous or inappropriate a conversation, the more interesting it is."-Scott Adams
haha is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 10-04-2011, 08:22 PM   #42
Full time employment: Posting here.
 
Join Date: Mar 2009
Posts: 512
My dad retired in 1979. He had $100,000.00 in bank Cd's yielding about 15%. With his SS and those high rates on Cd's he lived pretty good. I think those days are gone and us mid 60 people will never see anything like that in our life. The storm is just starting to brew.
oldtrig is offline   Reply With Quote
Old 10-05-2011, 10:34 AM   #43
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
haha's Avatar
 
Join Date: Apr 2003
Location: Hooverville
Posts: 22,983
Quote:
Originally Posted by oldtrig View Post
My dad retired in 1979. He had $100,000.00 in bank Cd's yielding about 15%. With his SS and those high rates on Cd's he lived pretty good. I think those days are gone and us mid 60 people will never see anything like that in our life. The storm is just starting to brew.
Those 15% rates were there because a storm had already hit. And because Paul Volcker was a realist who wanted to put the country back on a solid footing.

In 1979 inflation was still boiling, but after a few years as disinflation took hold under Volcker, anyone who bought long term treasuries at those high rates was set for a very nice retirement.

Many people did not see these long term treasuries as gifts from heaven, they thought that inflation would continue up forever. They wanted gold, T-bills, famland etc.

Ha
__________________
"As a general rule, the more dangerous or inappropriate a conversation, the more interesting it is."-Scott Adams
haha is offline   Reply With Quote
Old 10-05-2011, 11:00 AM   #44
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
harley's Avatar
 
Join Date: May 2008
Location: No fixed abode
Posts: 8,764
Quote:
Originally Posted by haha View Post
Those 15% rates were there because a storm had already hit. And because Paul Volcker was a realist who wanted to put the country back on a solid footing.

In 1979 inflation was still boiling, but after a few years as disinflation took hold under Volcker, anyone who bought long term treasuries at those high rates was set for a very nice retirement.

Many people did not see these long term treasuries as gifts from heaven, they thought that inflation would continue up forever. They wanted gold, T-bills, famland etc.

Ha
That's what I'm waiting for again. I got my first start as a financial wizard investing in 17% CDs, while only paying 15.75% on my mortgage. This time I'm going to be ready for them. I'll load up on T-bills and CDs when we get interest rates in the teens, and I'll be holding my ~4% (depending on the next refi) mortgage. Then I'll tuck in and quit buying stuff, live on my dehydrated food and dry beans until the economy recovers, and live happily ever after! I love it when a plan comes together! What could go wrong?
__________________
"Good judgment comes from experience. Experience comes from bad judgement." - Anonymous (not Will Rogers or Sam Clemens)
DW and I - FIREd at 50 (7/06), living off assets
harley is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Military Retired Pay Change mickeyd FIRE and Money 8 11-03-2011 06:46 PM

» Quick Links

 
All times are GMT -6. The time now is 04:45 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2024, vBulletin Solutions, Inc.