Introduction The following are events that will make the next decade tougher for those with limited financial education: •
Baby boomers will retire. In the United States alone, there are 78 million baby boomers. It is estimated that 52 percent of baby boomers do not have enough retirement savings or investments to live on. Social Security and Medicare are broke. Financing these programs will require more taxes from generations born after 1964.
More jobs will be lost. National, state, city, and local governments are short of money. Many are technically bankrupt.
From 2007 to 2010, most of the job losses were in the private sector, in large corporations and small businesses.
The next job losses will come from the public sector. Millions of government jobs will be lost in the coming decade. This means higher taxes, fewer services, and more unemployment.
For example, in January 2011, Camden, New Jersey, the second most-dangerous city in the United States, cut its police force by 50 percent. Camden also reduced the number of firefighters and government workers.
Who wants to live in Camden if crime and fire losses increase? What does a loss of government services do to property values?
In spite of rising unemployment and the loss of traditionally safe jobs, like a monkey clinging to his fruits and nuts, people are returning back to school to train for a new job, higher pay, benefits, and a good pension plan. This book presents you with some new ideas on what types of education will better prepare you for the future. In 2010, the U.S. debt was $14 trillion. In reality, according to the National Center for Policy Analysis, the United States owes $107 trillion when Social Security and Medicare are added to the bill. This means the United States is bankrupt.
by Rich Dad, Robert Kiyosaki