There are topics that politicians prefer to avoid. Pensions are definitely one of them. While public debate revolves around gender asterisks, CO₂ budgets, and the “social climate”, retirement provision sits like a ticking time bomb under the foundations of society. And hardly anyone seems to notice – or want to admit it.
Because here’s the uncomfortable truth: The pension system is a gigantic pyramid scheme that will collapse sooner or later.
The Ponzi scheme of the German pension system
The statutory pension insurance system operates on a pay-as-you-go basis. This means that the current working generation pays directly for the pensions of those who are no longer working. But what happens when fewer and fewer people pay into the system while more and more people draw money out of it? Quite simply, contributions rise, pensions fall – or the system collapses.
Demographic change is unstoppable: The birth rate is around 1.5 children per woman – far below what is needed to keep the system stable. At the same time, life expectancy is rising. This means that pensioners are receiving pensions for longer and longer, while fewer and fewer contributors have to pay for them.
The pension system was a viable model in the 1950s, at a time when there were four or five workers for every pensioner. Today, there are just two people in work for every pensioner. This ratio will continue to shift in the coming decades.
The bitter truth: Who will pay the price?
Politicians have, of course, long since found an answer to this question: Taxpayers.
Already today, around 100 billion Euro are pumped into the pension system from the federal budget every year to plug the funding gaps. This money does not come from a magic pot, of course, but from the taxes and contributions of the working population. And the message is clear: Those who work today will receive significantly lower pensions in the future – or will have to finance them themselves through higher taxes and contributions.
But it gets worse: While politicians keep the pension system afloat with ever new subsidies, pension benefits are being devalued in real terms. Inflation is the hidden pension cut. The purchasing power of pensions is melting away as central banks relentlessly print new money to finance government spending, including pension subsidies.
The illusion of reform: Why politicians are lying to you
The solution proposed by politicians? More coercion, more taxes, more contributors.
- Work longer – Retirement at 67 is already here, and 70 will soon follow.
- Higher contributions – Social security contributions have long since reached their limit.
- More migration – The hope that immigration will save the pension funds is economic nonsense when most new arrivals initially generate transfer payments rather than earned income.
All of these are short-term fixes that do not solve the underlying problem: An unsustainable system will remain unsustainable no matter how often it is “reformed”.
The only solution: Personal responsibility instead of state illusions
The bitter truth is that anyone who relies on the state pension will end up in poverty in old age. Period.
The alternative? Private provision, investment, and independence from the state.
- Real assets instead of paper money – real estate, commodities, stocks, and precious metals are more stable in the long term than pension promises.
- Take advantage of capital markets – Those who start investing in solid companies early can benefit from real economic growth.
- Take personal responsibility – Every Euro you save and invest yourself is a Euro that the government cannot take away from you or devalue.
The pension lie will not work forever. At some point, the moment will come when the illusion can no longer be maintained. The sooner you wake up and take action, the better for your future. Because one thing is certain: The government will not save you.
How can you buy precious metals cheaply and store them safely?
Elementum Deutschland GmbH, based in Sindelfingen (Germany), specializes in trading physical precious metals. Customers who purchase precious metals from Elementum Deutschland (or one of the other national Elementum companies in five European countries) can store them in the renowned high-security vaulting facilities in the St. Gotthard Massif in Switzerland at Elementum International AG.
Of course, you also have the option of purchasing gold and silver directly and having it delivered to your desired address. However, storing silver in the so-called open duty-free warehouse (“offenes Zollfreilager”) at St. Gotthard offers decisive tax advantages:
- The 19% value added tax customary in Germany is completely waived on purchases and sales – a considerable price advantage that effectively secures you 19% more silver for your money.
- If you store your silver in this high-security vault, you can sell it back to Elementum Deutschland GmbH at any time – without any bureaucratic hassle and also without VAT, as the trade takes place within the duty-free warehouse. You will receive the funds via bank wire.
- VAT is only payable when you physically remove the stored silver – either by picking it up in person (after prior notification) or by having it shipped to your address.
More silver, more return
Thanks to duty-free storage, you receive 19% more physical silver when you buy. This additional amount also participates in the performance of the silver price if it rises – a leverage effect that significantly improves your return opportunities.
Secure your storage space now – free of charge and without obligation
Register now for a storage space in the St. Gotthard high-security vaulting facility and receive free access to:
- our General Terms and Conditions (GTC)
- current fee tables
- annual audit reports from the auditing company BDO AG
- transparent proof of use of funds
- family discount information
- the popular children’s program “Schatz4Kids” (“Treasure4Kids”)
- as well as numerous other documents and information on storage, purchase, and resale, as well as the ratio “switching” strategy.
Register now: https://silberbar.elementum.de/
Tip for discounted entry: Enter the promotional code “50” (“Aktionscode“) and the “Vermittler” number 1000166 when registering to receive a 50% discount on the storage space setup fee.
Important: Registration is non-binding and does not commit you to anything – but it is your first step towards an independent and crisis-proof precious metal investment.
Elementum is a second-generation, owner-managed family business. Trust, consistency, and long-term thinking are at the heart of our philosophy. The Board of Directors of Elementum International AG is composed of internationally renowned experts in the money and precious metals markets, including economists, analysts, university professors, and precious metals specialists. This in-depth expertise forms the backbone of our actions—for your security, your assets, and your future.
About the Author
Prof. Dr. Philipp Bagus
President of Elementum International AG
Philipp Bagus is Professor of Economics at Universidad Rey Juan Carlos in Madrid, Spain. His research focuses on monetary and business cycle theory, and he has published in international journals such as the Journal of Business Ethics, Independent Review, and the American Journal of Economics and Sociology. He has received numerous awards for his work, including the O.P. Alford III Prize in Libertarian Scholarship, the Sir John M. Templeton Fellowship, the IREF Essay Prize, and the Ludwig Erhard Prize. Bagus is a member of the Academic Advisory Board of the Ludwig von Mises Institute Germany and the author of several books. His best-known works include “The Milei Era: Argentina’s New Path” (2024), “Full Reserve Banking versus the Real Bills Doctrine” (2024), “In Defense of Deflation” (2015), and “The Tragedy of the Euro” (2011).
Contact
Rockstone News & Research
Stephan Bogner (Dipl. Kfm., FH)
Müligässli 1, 8598 Bottighofen
Switzerland
Phone: +41-71-5896911
Email: info@rockstone-news.com
Disclaimer: This article reflects the personal opinion of the author. Elementum assumes no responsibility for the accuracy of the content and accepts no liability for its use. This article may contain links to external third-party websites. Elementum is not responsible for the content of these external sites and expressly distances itself from all information provided there. At the time the links were created, no unlawful content was identifiable. This article does not constitute a recommendation to buy or sell. Elementum International AG is a Swiss company that specializes exclusively in the storage of physical precious metals in a high-security vault facility located in the St. Gotthard mountain massif in Central Switzerland. The Board of Directors and Executive Management of Elementum International AG have been selected solely based on their professional expertise and long-standing experience in precious metals markets. As these individuals may also be professionally active outside their roles at Elementum International AG, the company has no influence over their external activities and respects their right to freedom of expression. Therefore, the views expressed by persons working with or for Elementum do not necessarily reflect the opinion of Elementum International AG. Investments in precious metals are subject to risks, including those specific to the structure of this market. Please read our full risk disclosures and consult a licensed financial advisor before making any investment decisions. Neither the author, Elementum International AG, nor Elementum Deutschland GmbH assume any liability for actions taken based on the information provided. Past performance is not indicative of future results. The cover picture has been obtained and licenced from 123rf.com.
