Job Discussion Forums

[rxk22]

I watched this video, and taking the little bit it had to say, I applied it to my current situation. I am an American living in Japan. I invest on my own, as I don't believe that the pension system will be enough to live on when I retire(the video talks about how pension schemes in Europe and Japan are probably not safe).

I have read multiple times how Americans don't have enough saved up for retirement, and that's with 401ks being widely available. Here in Japan, I don't think any of my foreign co workers has any real meaningful amount saved up in investments.

Basically the longer you own stocks, the less risky they are, as the gains average out, and you end up with a historical 8% or so annual gain. This is with data from 1875 btw. Everyone should sock away some money, but a savings account isn't a viable investment, esp as of late. You really need stocks, and a few bonds. Buy some S&P Index Funds and forget about it.

I only say this, as so many of us here live in a bubble We have few people telling us life advice, as we can get by without anyone saying anything negative about our lifestyles. Be it diet, money usage, food/drinks.

I implore you, save up, and invest. Sooner or later you will be old, and if you have no investments, you may never be able to retire. I can't remember but the Japanese pension system doesn't pay well now, wait 20 years and it'll be worse. The US Social Security only pays an avg of $16,000, really not enough to live off of.

Food for thought. Wish you all the best

[Rooster.]

Does anyone know what the Japanese pension pays a year?

[izmigari]

[kzjohn]

izmigari--thanks for that link! The particular point for me is:

[rxk22]

Well Izi, that is a weird reply. I didn't say that you would retire off of SS. I said that even with SS, you would not make enough to live comfortably. As of 2011, the avg was 1180 a month http://money.usnews.com/money/retirement/articles/2011/08/01/how-to-predict-your-social-security-payout, and that is with you maxing out your SS benefits, aka making $100k a year.

Anyhow, you have a nice politicalized and odd post. Thank you........?

[rxk22]

[RustyShackleford]

[quote="izmigari"]

[kzjohn]

[rxk22]

[quote="kzjohn"]

[izmigari]

[kzjohn]

One other thing in the background of any pension talk is 退職金. Of course this severance allowance can vary widely, but it still is a factor. This is taxed favorably within Japan, tho as unearned income for US filers (so no foreign earned income exclusion).

[Rooster.]

[rxk22]

[kzjohn]

[rxk22]

I work at a private school, and I have the same pension, and I get the severance package. I haven't ever met anyone else that gets that. I never talk to college profs, outside of here. I also don't run into too many private school teachers.
ALTs, and Eikiawa workers don't get a severance, heck most don't even get benefits of any kind. I do believe that the college and private schools teachers get severance, but I think that ALTs and the such are here in a much larger number. They also are the most vulnerable. Less money means less ability to save..

I wouldn't call owning a house investing. Esp in Japan, as the house it's self loses value rapidly. It is more like owning an asset, like a car. When compared to renting, saves money in the long run.

Oh yeah. NEVER offshore your money. That is asking for problems. I read a while back when they were talking about Mitt Romney offshoring his money. It is worth doing, but not unless you have tax lawyers and and millions of dollars. Otherwise at best you have a massive headache. Or as you said, walk into a scam.