Much time has passed since the post velvet revolution era, but nothing has changed. Yet even today there are those who point a warning finger and say darkly that pensions will be a bad thing. This despite the fact that current populist politicians boast about what they have done, are doing, and will do for current pensioners. On debt – this is not a surprising fact.

An actuarial report published by the Ministry of Labor and Social Affairs warns that based on current conditions, the current pension system will collapse when my generation, the “children of Husak,” reach retirement age.

If the retirement age were stopped at 65, the deficit of the pension system in 2060 would be 3.4% of the gross domestic product, or about 172 billion kroner in current prices. Thus, workers would pay less than the required amount for this amount. Thus my generation will gradually die out, with the hope that the situation will then gradually improve again.
If the retirement age threshold is not raised above 65, which is currently frozen, the pension system will remain in the black until around 2028 thanks to rising wages, which will amount to about 8.3 percent of gross domestic product. And after 2060, it would begin to fall again, reaching just 2.4 percent within a decade. If the retirement age is further raised, it could drop to 2 percent.
Retiring at age 65, retirees would receive 36 percent of the average wage.
So the ministers are considering whether to accelerate or delay retirement in the future, thereby making these people poorer or not. In doing so, pensions will be indexed at half of real wage growth and half of price growth, with inflation projected at 2%, unemployment at up to 5%, and gross domestic product growth at 3.2-4.7%.
The Ministry of Labor and Social Affairs has already planned what the pension situation will be by 2070. In other words, it is a visionary! However, I did not notice if the report already includes how much the current populists and future governments will increase the pensions of current pensioners (those who voted for them out of gratitude). I wonder how much of a percentage of GDP will be added before it is our turn, the children of Husak.

Much time has passed since the post velvet revolution era, but nothing has changed. Yet even today there are those who point a warning finger and say darkly that pensions will be a bad thing. This despite the fact that current populist politicians boast about what they have done, are doing, and will do for current pensioners. On debt – this is not a surprising fact.

An actuarial report published by the Ministry of Labor and Social Affairs warns that based on current conditions, the current pension system will collapse when my generation, the “children of Husak,” reach retirement age.

If the retirement age were stopped at 65, the deficit of the pension system in 2060 would be 3.4% of the gross domestic product, or about 172 billion kroner in current prices. Thus, workers would pay less than the required amount for this amount. Thus my generation will gradually die out, with the hope that the situation will then gradually improve again.
If the retirement age threshold is not raised above 65, which is currently frozen, the pension system will remain in the black until around 2028 thanks to rising wages, which will amount to about 8.3 percent of gross domestic product. And after 2060, it would begin to fall again, reaching just 2.4 percent within a decade. If the retirement age is further raised, it could drop to 2 percent.
Retiring at age 65, retirees would receive 36 percent of the average wage.
So the ministers are considering whether to accelerate or delay retirement in the future, thereby making these people poorer or not. In doing so, pensions will be indexed at half of real wage growth and half of price growth, with inflation projected at 2%, unemployment at up to 5%, and gross domestic product growth at 3.2-4.7%.
The Ministry of Labor and Social Affairs has already planned what the pension situation will be by 2070. In other words, it is a visionary! However, I did not notice if the report already includes how much the current populists and future governments will increase the pensions of current pensioners (those who voted for them out of gratitude). I wonder how much of a percentage of GDP will be added before it is our turn, the children of Husak.