Life – a user's manual Part II - Boksidan

Retirement savings
Those who discuss private pension with me, I usually ask why they are thinking about this type of saving.
This is since for many persons it would be directly idiotic to save for the retirement, because they take
money they could use to repay loans or save to nearby investments instead of lending to them. Which had
benefited the economy at present and in the future. Furthermore, when it is time to withdraw the money,
many people probably already have inherited their parents savings in some form. Moreover, they probably
have lower costs then because the children are adults, most capital goods are already bought and
amortization and inflation has reduced the relative housing costs. Finally, the pension assets will reduce their
future housing supplement, which for many is an important source of income after retirement. The only real
point of private pension savings, is for those with savings have an income that is below the breakpoint for
state income tax. Because the rest will gain less on the tax reduction on retiremen savings than what they
will pay in tax on the savings when they take them out as pension.
Warning! A thirst after something is a stronger feeling than the
feeling that arrives when the thirst is extinguished.
That goes for the thirst after water as well as wealth.
227