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The Deficit of National Pension
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contents
1. What is the national pension
2. Policy and operation of the national pension
3. The cause of deficit of national pension
4. The problem of the deficit of national pension
5. Solution for pension deficit
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1. What is the national pension
The Notion of National Pension Fund
The Necessity of National Pension Fund
Characteristics of National Pension Fund
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1) The Notion of National Pension Fund
Social insurance
Stabilize the life and Promote the welfare
Extended benefits from 1988
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2) The Necessity of National Pension Fund
Old people is fastest growing.
Birthrate is decreasing.
People don¡¯t support their aged parents.
People don¡¯t prepare for the future.
Risks of real life are increasing.
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3) Characteristics of National Pension Fund
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4) Public Finance Present Condition of National Pension
¨ç Conflict between the Olds and the Youngs
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hange is faster than any other countries.
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The number of payers for national pension decreases and that of receivers for the pension increases by Increase of old people & low birth rate.
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2) The Retirement of Baby Boomers
The retirement of baby boom generation widen the gap between incomings and outgoings of national pension. Thus, the deficit of the pension is accelerated.
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Consequently, national pension will run out in 2060.
Graph from National Pension Service
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4. The problem of the deficit of national pension
1) Example of Japan
2) People who rely on the national pension maybeindanger
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1) The Example of Japan
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¨ç Conflict between the Olds and the Youngs
The speed of aging is even faster than Japan
Cost for supporting old generation would be shoot up.
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Reliability of national pension
Expected future earnings from national pension
Negative