View topic - Canada Pension Plan Reforms, Voluntarily Opting Out :: Free Dominion - Principled Conservative - Party and Canadian Politics

Last edited by Clinton P. Desveaux on 03/ 05/ 06 3:02 pm; edited 1 time in total

Canada Pension Plan Reforms, Voluntarily Opting Out
www.ClintonDesveaux.com

Being an economics and money sort of guy, I remember being a Young Turk who had a number of friends who were also interested in making vast fortunes in life. Three of my buddies in particular, had become involved with multi level marketing business plans.

Now for those of you who don’t know what multi level marketing is, I will explain quickly and how it relates to this column; you see things like Amway, are what is commonly referred to as pyramid schemes in laymen terms.

In other words, the goal is to get as many people involved underneath you, where you take a cut of their sales or membership fees. They are based on the notion that building a mass of workers under you over time allows you to reap unrealistic benefits from those beneath you in the pyramid. People under you are promised that they will also get the same benefits as you over time and they just need to ensure that a mass of workers under themselves continues.

The money works its way to the top of the pyramid each time. The problem of course, is that the only way to make any money, is growing the pyramid forever, the minute your Amway plans stop growing, and in fact ages, it begins to collapse onto itself like a house built of a deck of cards.
Now back to the Canada Pension Plan talk, what happens when a population ages? Immigration/refugee levels begin to drop? And greater payouts are made to those collecting from the existing system?
The entire scheme begins to crumble unto itself like a house built from a deck of cards.
Nothing can prevent the natural and moral underpinnings of the free-market. Pyramid schemes sound great in an utopist kind of way for people who ignore reason, rational though, and logic but reality always kicks in at some point to remind you that the world is black and white.
The Canada Pension Plan is really nothing more but a massive multi level marketing scheme at best, a pyramid scam a la Amway at worst. Many people will recall the massive increase in Canada Pension Plan deductions. This was really nothing more but a massive transfer of intergenerational wealth to keep the pyramid which is Canada Pension Plan from collapsing onto itself a little while longer.

Most thinking people understand that if an individual were given a waiver, so as to be able to opt out of making payments into the Canada Pension Plan, and invest that money through private means, returns would be much larger and fruitful. Any serious intelligent economics person understands that you forget about short term easy gains, the ‘here and now’, and focus more on the medium and long term future.

I recall in the early to mid 1990’s when riots were broadcasted for the world to see when people in certain countries realized after national pension plan collapse that it was all just a pyramid scam. People had been ill prepared to plan their own future and retirement.

Those images have stuck with me ever since and motivated me to attempt to do something about it. Back in around 1997, I was at national political youth convention in Calgary. At this convention, I was speaking at microphone and discussed a plan where as to allow people to opt out of the Canada Pension Plan if they so wish. Now of course many people in that room approached me afterwards and told me it was a fascinating idea which deserved more discussion, those were the business types, and people who understood pyramid schemes. The other half of that room was ambivalent, the political types.

It seems to me that if the current Conservative Government of Canada was interested in providing people the freedom to choose, a plan which removed the coercive nature of the Canada Pension Plan would be a great way to providing an alternative to the existing mess.

People who assume they don’t have enough money to retire with, in many cases don’t understand that if the minimum amounts of money which is currently expropriated and confiscated on their paychecks, were aggressively invested over a 35 year period in the markets, that their rate of return would far surpass what they will in fact receive from the Canada Pension Pan.

The other problem with the Canada Pension Plan is that it has created a false sense that the state will be there to look after you when you age, when in fact many of us understand that is wrong to begin with. The only person, who is going to look after you, is you and this is a lesson that many people taking parts in riots in other countries during the early 1990’s figured out the hard way.

So it seems to make a great deal of sense for individuals to be given a waiver which relinquishes them from making payments into the Canada Pension Plan if they voluntarily consent to do so. The express understanding that the Canada Pension Plan payments will not be directed towards you in the future, would ensure that those participating in this multi level marketing tool or pyramid scheme would in fact be getting the payments that they made and concentrate greater amounts of CPP money on those who actually want it. The other advantage to making payments voluntary is that it allows those of us who wish to maximize our private investments to do so, without having to borrow money from other options.

Individual voluntary consent when dealing with financial issues is the best way to foster a strong economy, and strong individuals which will create a strong nation.

So should the Conservative Government of Canada make Canada Pension Plan Payments Voluntary?

www.ClintonDesveaux.com
_________________
Before you comment on economics buy a new or used a copy of "Theory of Money and Credit" (1912) by Ludwig von Mises

Posted: 03/ 05/ 06 11:37 am Post subject:

Well not being well versed in economics like yourself I have inadvertantly spoke of what you have said. I was so very wrong! I now collect the largess of the Canada pension fund. I am living the high life let me tell you. I can`t decide what to do with all this money. Of course I am semi retired now and have cut my hours back since getting the Pension. I think I am down to about 46 hours a week. Whats that? If I couldn`t work? Laughing

If I had not invested in my business and saved a couple of bucks for a rainy day? Well I guess I would be a burden upon my kids. My taxes on my house are about what my mortgage used to be! There goes the pension money! I knew they would get it back and tax me on it.
But at least I am getting some back. You kids out there will be the ones who`s house of cards will collapse and I will still be a burden to you.
the gvernment should allow individuals to direct their pension money ( compulsery) to their own personal choice of schemes. Even dolts like me can make a better private plan.
_________________
Dislexics of the world ..........Untie!!
You see ,there is no dog !
Surveys say 10 out of every 2 people are afflicted!

Posted: 03/ 05/ 06 12:04 pm Post subject:

Posted: 03/ 05/ 06 12:20 pm Post subject:

Personally I would like to see some of the politicians and their minions go to jail over scams like this, the CPP. First of all they took the money and plowed it all into general revenues and spent it all. The crooks in Ottawa have always behaved like 3rd world crooks and gotten away with it, this is just another example. Get rid of the CPP bureacracy, make it compulsory that everyone who works in Canada must have a portion of their pay deducted and placed into a locked in RRSP controlled and portable by the worker, no matter were he works or retires the funds will be there...
_________________
If ye love wealth better than liberty, the tranquility of servitude better than the animating contest of freedom, go home from us in peace. We ask not your counsels or arms. Crouch down and lick the hands which feed you. May your chains set lightly upon you, and may posterity forget that ye were our countrymen. -- Samuel Adams, speech at the Philadelphia State House, August 1, 1776--"If You Haven't Suffered Enough It Is Your God Given Right To Suffer Some More" Wm. Aberhart Alberta Premier

Posted: 03/ 05/ 06 3:00 pm Post subject:

Posted: 03/ 05/ 06 5:46 pm Post subject:

Posted: 03/ 05/ 06 8:05 pm Post subject:

Posted: 03/ 05/ 06 8:49 pm Post subject:

OK devils advocate here! I believe one of the greatest things about a free country is the right to succeed or fail. In Cuba you can really do niether. Everyone is equally poor. BUT! If we have the freedom to put away for our old age ,but, fail to do so ,what then? Old stupid folks taking to park benches when they can`t pay thier taxes on their homes? Do you know the mess they would make of our parks? They have to poop somewhere!
_________________
Dislexics of the world ..........Untie!!
You see ,there is no dog !
Surveys say 10 out of every 2 people are afflicted!

Posted: 03/ 05/ 06 8:56 pm Post subject:

Posted: 03/ 05/ 06 11:12 pm Post subject:

But you don`t answer my question. Some people would do niether and we would have to go to the expence of producing more comfortable park benches to sleep on. Some folks are not all that bright you know?
_________________
Dislexics of the world ..........Untie!!
You see ,there is no dog !
Surveys say 10 out of every 2 people are afflicted!

Posted: 03/ 05/ 06 11:33 pm Post subject:

Posted: 03/ 05/ 06 11:52 pm Post subject:

Posted: 03/ 05/ 06 11:58 pm Post subject:

Posted: 03/ 07/ 06 12:55 am Post subject:

The social security was set up under the same ponzi scheme principle.

The CPP although is much more a welfare program that the US social security. For instance my wife worked for 11 years in the US. She will only be entitled to 11/35ths of a full social security pension.

In Canada, she has only worked 1-1/2 years. Now she is raising our children. Even if she works not another day she will collect the minimum which I believe is around $300. The max is somewhere around $800. And if we were poor she would also collect a supplement.

	The time now is 02/ 09/ 10 3:34 am
	Home ∴ Forum ∴ Recent ∴ Register ∴ Profile ∴ Log in to check your private messages ∴ Log in FAQ ∴ Search ∴ Donate ∴ Activist's Toolbox ∴ FD Links ∴ FD Swag [ Login to join chat ] FD Arcade - Click Here-->