Friday, December 28, 2012

The Older Germans Story

A report got into the mainstream press around Europe over retired Germans in the past week.  Presently.....with the figures provided....there's around 12k Germans (more or less) that reside in old folk's homes outside of Germany.  Most are in Hungary and Czech.  A growing number are in the Philippines and Thailand.

The emphasis of this story?  Well.....it costs a heck of a lot to live in a old-folks home in Germany.  Depending on how much money you put aside and how much you can squeeze out of your social security pension deal.....it might not be enough to live in a decent German old folks home.  So you make a decision.....to live in a substandard facility or go off to some foreign country to live in a upscale but reasonable costing facility.

Some journalists are making this into a big deal....shoving older Germans off.  The truth is....if you've been to Hungary or Czech.....you quickly figure out that you can live the same German lifestyle for thirty percent less.  Pick Spain?  Same deal.  The Philippines or Thailand....you could live a pretty upscale lifestyle for half what you'd spend in Germany.

The journalists have taken this to the political folks who really don't want to be shamed in front of the public.  You can figure at least some type of added taxation to occur in 2013 as they seek to pay older Germans more for their facility living.  Will it decrease the flow of Germans living outside of Germany?  I would seriously have my doubts.  

If you look around Germany....there's a growing number of Germans in their forties....who make a decision that they've made enough money, and just want retirement.  They've traveled off to various countries and found places where $1k a month buys you happiness.  I suspect the media has missed this in their reporting.  Germans aren't stupid.....they know how to stretch their cash and live a pretty decent life.

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