China’s Retirement Age Hike Sparks Urgency: 5 Critical Fixes the U.S. Retirement System Needs Now

This article examines China’s retirement age hike sparks urgency: 5 critical fixes the U.S. retirement system needs now. If you wish to check out our detailed analysis, you may go to China’s Retirement Age Hike Sparks Urgency: 8 Critical Fixes the U.S. Retirement System Needs Now

5.     More Immigration

While many Americans won’t like the sound of this, America needs more immigrants to keep its labor force from shrinking. Back in 1960, an estimated 5.1 workers were supporting each person receiving a Social Security check. As of 2022, that ratio stands at 2.8 workers per beneficiary. That said, the current level of payroll taxes is insufficient to keep the program afloat. Longer lives, an aging population, a shrinking workforce, and slower birth rates have all come together to form a looming retirement crisis. According to a 2023 report from the SSA, the Social Security program can stay solvent for longer if more immigrants keep coming in. Retirement is very far away for these immigrants who come in young and work longer.