publicpensions. They decided to und them on a pay-as-you-go so called paygo basis. The paygo model was attractive compared to a fully funded basis. First, paygo appeared to be affordable. It did not require pre-funding for those who had already retired. Second, at program inception, the number of retired beneficiaries was comparatively small and the number of contributing workers was large. This
pension gap
Budget deficit
Reflecting factor of population aging
: lifespan → period of demand
→ a generation equitableness
Method of regulation → a personal pension
Reflecting duration of infant care
Disability pension reform
Obligatory join target
: whole worker
exemption
: soldier, judge, public-sector worker, low-incomer
if he/sh
have led to the gradual introduction of per capita risk-adjusted allocations to the sickness fund.
Luxembourg :
the Union of Sickness Funds directly covers the expenses for services delivered on a contract basis.
Germany :
a mixed system whereby expenditure for pensioners was covered jointly by all funds.
Switzerland :
the equalization mechanism is limited to each canton.
Definition : What the aging society is?
‘Aging Society’
a society where more than 7% of the whole population
are than aged older than 65
Why does aging society come?
Falling birth rates
Rising life expectancy
In Korea, Baby-boom generation getting old
중략
3rd reason : Baby boomer getting old
In Korea, the baby-boom generation largely refers to
those born between
pension system.
Each AFP set minimum rate of return and make a safety device for net getting enough rate of return.
For treating enormous asset, AFP have very important roles so government has restricted and supervised strictly by setting some law and making SAFP.
The public wanted to pay less in working ages and get more in retired
These mechanism has an effect on the politic or inte