Financing Retirement
In early December, President Trump discussed developing a national retirement savings system like Australia’s superannuation program. Australia certainly has an enviable retirement system. In fact, the latest Mercer CFA Institute Global Pension Index awards the Australian system a B+, while the U.S. system gets only a C+…
With fewer protections and guardrails, we have a much less effective system. The most extraordinary development in the U.S. private sector retirement system is not the shift away from old-fashioned defined benefit plans, which began around 1980 and is virtually complete today, but rather the movement away from 401(k) plans, which replaced the defined benefit…
