I have a policy of not trusting Social Security, pensions, or any IOU money. Until it’s in an account with my name on it, it doesn’t exist. Government employees in Illinois are unfortunately learning this the hard way.
Watch as the Illinois pension crisis explained with a cartoon snake.
And here’s the NPR article describing the problem. The sad reality is that thanks to total mismanagement by Illinois, this is going to be a slow motion train wreck that hurts a lot of hard working employees.
Moral: Retirement is all about how much of your NET income you save.
Readers: What’s your opinion of the upcoming crisis? Are you preparing in case a similar disaster hits you?