>
Date: Thu, 27 May 1999 14:42:07 -0500
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Status: RO
Jean-Michel Pittet wrote:
> Well - my personal resolution:
>
> Take the 12% and put them into an investment of some sort, most likely
> containing a large portion of Swiss or European equity. You'll end up
> with more money by the time you retire than what you loose through the
> AVS.
>
> Chances being that the AVS will be broke once we beocme eligible only
> make this solution more attractive.
This is purely politics and in the hand of the voters of a country.
Social Security is an Institution that only will be broke and dissolved if a government wants it that way.
I think it is way more likely that the stock market crashes than that AVS or some sort of it will stop being paid.
You may make more profit in investments but I am pretty sure that AVS is probably the most secure retirement investment one can make.
When comparing to other countries one may even say that AVS has the potential to be the most secure retirement investment that exists.
The decision to give up AVS personally can not be reversed in the future and loosing years will result in lower payments. As far as I know the penalty of missing years is big.
It very much comes to a point when you need to decide which retirement form you prefer: A completely self determined, a governmental determined or a combination. With AVS and working in the US you can have the combination.
This becomes philosophical too: I think that AVS is a very European or Swiss type of institution where a society takes care of individuals without asking them individually and the personal investment option, as widely performed in the US, is a very individualistic way (take care of yourself). After being a while abroad I needed to learn to distinct the two ways and not to play them against each other.
Comments are welcome.
Urs
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Received on Thu May 27 1999 - 12:42:00 PDT
