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>it would be manadatory retirement savings accounts for all and invested in (vanguard) index funds (and probably diversified into bonds at least)

Doesn't Australia's superannuation work something like this? If I understand it correctly, a chunk of your salary is set aside, but instead of going into a pool like Social Security, it goes into a fund. I could be (and probably am) wrong as to how it works. That being said, I would love it if we could implement something like this in the US.



Australia's superannuation is more like the US 401k but with a Government mandated minimum contribution level.

Individuals are free to pick their own fund providers or even create their own superannuation funds (with some caveats).


Also the govt encourages additional voluntary contributions by allowing a certain amount to be salary sacrificed (paid directly without tax) into super.

This is purely for the pension; unemployment benefits are completely separate. You cannot access your super funds until you reach retirement age or become critically ill.


Or leave the country, if you are not a 'strayan. But then you pay back taxes on it.





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