With some luck, growth of any remaining invested pension will help you cope with inflation over the years.
Less stringent rules for qualifying for the basic pension will help women, many of whom do not make enough contributions during their working lives to claim the full amount, usually because of taking time off to raise children.The new system will be funded in part by the early abolition of the state second pension, an earnings-related scheme.
Requiring employees to divert 3 to 6 percent of their paychecks toward funding their pensions will help, though it will not come close to solving the short-term budget problems in most states, Ms. Urahn said.
In a recent paper for the Brookings Institution, a Washington think-tank, Alan Auerbach, William Gale and Peter Orszag predict that the boomers' demand for doctors, drugs and pensions will help inflate the federal budget deficit to a crippling 10.8% of GDP.
Pension reform will help slim down the civil service, which until recently was a sponge for unemployment, by encouraging desk-jockeys to retire.
In the short term, seniors, who typically inject cash into local markets by bringing money from the sale of a previous home and through their retirement or pension plans, will help ease the economic crisis in Florida.
For example, workers may be able to invest more heavily in stocks in their 401(k) because they will receive Social Security and a pension that will help fill the role of bonds or other fixed-income investments, said Michael Falk, an investment expert with ProManage Inc. in Chicago, which manages 401(k) accounts for workers.
The Pensions Regulator will help to determine whether the trustees' valuation is adequate and what must be done to plug the deficit.
The charity Age UK's director Michelle Mitchell said: "We are delighted the government is introducing a 'triple guarantee' to raise the basic state pension from April, and also a matching increase for pension credit which will help the poorest in later life, but this is offset by the rise in VAT which will hit poorer households hardest, including low income pensioners".
If an employee wants to work beyond 65 and get a bigger pension thereafter, BAE will help him do so.
Getting rid of the pension lawsuit, he said, will help L.A. avoid the financial risks facing Chicago, another city hit with a suit over cuts to public pension benefits.
