It’s tough growing old. And it’s even tougher growing old in America -- unless you’re rich.
It used to be that you could count on two pensions – social security and a pension from your employer. But now work-related pensions are an endangered species and Social Security is under assault from a lethal combination of Wall Street’s insatiable greed and the pernicious philosophy of Ayn Rand.
For much of the post-WWII period, private sector workers could count on decent, defined benefit pension funds that paid a fixed monthly amount for as long as you lived. Most also included options that allowed your spouse to receive benefits for the rest of his or her life after you died. You felt like you could survive into your golden years and provide for your loved ones.
Defined benefit plans are much more secure than 401(k)s, which end when the money runs out. The odds are that you will quickly outlive your 401(k). In fact, the average 401(k) has a balance of only $45,519, and 46 percent of all 401(k)s are worth less than $10,000.
http://www.alternet.org/economy/150820/how_wall_street_and_the_toxic_philosophy_of_ayn_rand_are_destroying_our_retirements/