---

---

● Ponzi Scheme Pension Reform

The Truth Behind the Pension System Imbalance: Hidden in Premium Hikes and Soaring Income Replacement Rates

1. The Essence of the Problem – A Sharp Discrepancy Between Premium Rate and Income Replacement Rate

The premium rate is gradually increased by 0.5% points over 8 years, while the income replacement rate is increased by a whopping 43% starting next year.
Those who are currently retired will immediately receive the increased pension without paying existing premiums.
Current workers who must pay premiums for more than 10 years will have the benefits applied much later.

2. Timeline and Economic Impact of Policy Changes

• The premium increase policy is implemented gradually over 8 years.
• The income replacement rate increase, which will be applied starting next year, is applied all at once at 43%,
  creating a gap in benefits between the already retired generation and the generation that will have to pay in the future.
• This policy development method affects the overall economy in conjunction with future economic developments and
  global economic outlook, interest rates, stock market, exchange rates, economic outlook, etc.

3. Generational Interests and Impact of Legislator Age

• With the average age of National Assembly members being high,
  the current policy seems to be designed to primarily benefit the X generation and Baby Boomer 1st and 2nd generations.
• As pension reforms are made in a direction that benefits them,
  the burden is passed on to younger generations.
• This exacerbates inequality between generations,
  and is expected to have a negative impact on individual economic activities such as financial technology.

4. Conclusion – A Fair Pension System and Future Improvement Directions

• The current pension system reveals a systematic imbalance due to the inconsistency between premium increases and income replacement rate increases.
• Equity in payment period and receipt time must be supplemented through policy reforms.
• These reforms, amid uncertain situations such as the global economic outlook, interest rates, stock market, exchange rates, and economic outlook,
  are an important task for the economic stability of all members of society.

Due to the structural problems of the pension system, the premium rate is gradually increased over 8 years,
but the income replacement rate is converted to a rapid increase of 43% starting next year.
An imbalance in benefits occurs between the retired generation and current workers who must make additional payments,
which is a result of reflecting the age structure of National Assembly members and the interests of specific generations.
Therefore, in the future, generational equity must be achieved through fair pension system reforms,
and this issue is linked to the global economic outlook, interest rates, stock market, exchange rates, economic outlook, etc.
and is expected to have a significant impact on the domestic and international economy.

[Related Posts…]

• The Truth of the Pension Injustice Problem
• The Need for Generational Conflict and Policy Reform

*YouTube Source: [이효석아카데미]

– 이번 국민연금 개혁은 그야말로 ‘대국민 폰지사기’