Kunpeng Project
China's aging population is becoming more and more significant, and by the end of 2022, the number of elderly people over 60 years old has reached 2800 million, and this number is expected to exceed 400 million by 2035. This trend has raised concerns about the need for pensions and savings, and older people from different backgrounds will face different challenges.
For rural residents, pensions are often relatively low, only one or two hundred yuan per month, which is far from enough to cover basic living expenses. However, they own some assets, such as arable land, fish ponds, and houses, that can generate additional income**. For example, growing grain or vegetables, agricultural products, and renting out fish ponds and houses can all increase their income.
An elderly couple in a rural area spends about 1,800 yuan a month, and needs 2$160,000, and retirement life may be as long as 17 years. Therefore, they need to be at least 36A deposit of 720,000 yuan to maintain a decent pension life. It is also necessary to take into account that the medical expenses in 17 years are about 150,000 yuan, and the inflation cost is about 50,000 yuan, which makes the rural elderly need a total of 56$720,000 in deposits.
Living in the city, the basic expenses of the elderly are usually as high as 3,000 yuan per month, and they need 360,000 yuan. Considering that the average life expectancy is 77 years, retirement can be as long as 17 years, so they need to be at least 61A deposit of 20,000 yuan to maintain a decent retirement life. Similarly, it is also necessary to take into account that the medical expenses for 17 years are about 150,000 yuan, and the inflation cost is about 50,000 yuan, which makes the urban elderly need a total of 81A deposit of 20,000 yuan.
At present, there are 1300 million retirees receive pensions, but except for some civil servants and retirees from public institutions, the average pension is only 3,100 yuan, which is only enough to maintain basic life. As a result, urban seniors need extra savings to cover household expenses or to cope with expenses such as medical expenses.
If you are an urban retiree and both husband and wife have a stable pension, then usually only 20-300,000 yuan of savings are enough to maintain a pension life. This is a much lower demand for savings than for urban dwellers who rely on savings for retirement.
Although the urban pension system has played a positive role in improving the living standards of the elderly, it still faces some challenges. The average level of pensions is relatively low and cannot meet the high cost of medical care and inflation.
Considering the circumstances and needs of different seniors, personal financial planning becomes crucial. Seniors should make reasonable arrangements for savings, investment, and insurance according to their own circumstances to ensure that they have enough funds to maintain a decent life after retirement.
* There is also a responsibility to take measures to address the challenges of ageing, including improving pension systems, improving health care, and promoting employment opportunities for older people. Collaboration with individuals can better safeguard the well-being of older persons.
China's growing elderly population raises important questions about the need for pensions and savings. Seniors from different backgrounds face different challenges, so personal financial planning is crucial. Measures are also needed to support older people and ensure that they are able to live a decent ageing life. Only through comprehensive efforts can China better meet the challenges of an ageing society.