Nasib Generasi Sandwich di Indonesia

Summary

This video discusses the phenomenon of the 'sandwich generation' in Indonesia, where individuals are financially responsible for both their children and elderly parents. The script explores the social and economic factors contributing to this, including the lack of a robust pension system and low financial literacy in the country. It also contrasts Indonesia's situation with other nations, offering practical solutions such as better financial planning and the use of digital banking tools to help manage finances. The speaker encourages financial discipline and the adoption of modern banking services to relieve the pressures of being in the sandwich generation.

Takeaways

• 😀 The concept of 'Sandwich Generation' refers to individuals who financially support both their children and elderly family members, including parents and grandparents.
• 😀 In Indonesia, the dependency ratio is very high, with 44% of the population relying on those in the productive age group for financial support.
• 😀 The high dependency on family members in Indonesia is partly due to a lack of sufficient social safety nets like pensions and retirement plans.
• 😀 Many older adults in Indonesia continue to rely on their working children for financial support due to insufficient pension systems.
• 😀 The Sandwich Generation phenomenon is more pronounced in Indonesia compared to countries like the U.S., where the percentage is much lower.
• 😀 Key factors contributing to the high prevalence of the Sandwich Generation in Indonesia include inadequate retirement systems and low financial literacy.
• 😀 In many developed countries, elderly people receive better support from state-sponsored pension systems, reducing their financial dependency on children.
• 😀 Many Indonesians do not have enough retirement savings or investments to support themselves after retirement, often relying on children instead.
• 😀 Financial literacy in Indonesia is still low, and many people are unaware of the importance of saving for retirement or long-term financial planning.
• 😀 To reduce the burden on future generations, financial discipline and proper planning are essential for those in the Sandwich Generation to secure a better financial future.
• 😀 Digital banking apps like Line Bank can help people manage their finances by allowing them to separate accounts for different purposes, making financial planning easier.

Q & A

What does the term 'sandwich generation' refer to?

The 'sandwich generation' refers to individuals who are financially and emotionally responsible for both their immediate family (spouse and children) and their elderly parents or extended family. They are 'sandwiched' between these two generations, bearing heavy financial and caregiving burdens.

Why is the sandwich generation more prevalent in Indonesia than in other countries?

The sandwich generation phenomenon is more pronounced in Indonesia due to two main factors: the lack of a robust pension and social security system, and the generally low level of financial literacy among the population. These factors contribute to greater reliance on family members for financial support in old age.

What is the dependency ratio in Indonesia and how does it compare to other countries?

According to the 2022 BPS data, Indonesia's dependency ratio is 44.67%, meaning that for every 100 people of working age, 44 people depend on them for financial support. This ratio is higher than in many other countries, where the social structure is more financially independent.

How does the pension system in Indonesia differ from systems in developed countries?

In developed countries like Canada, Sweden, and Norway, pension systems are more comprehensive, providing financial support for elderly citizens. In contrast, Indonesia's pension system is underdeveloped, with most retirees only receiving a small portion of their pre-retirement income, often leading them to rely on family members for support.

What percentage of retirees in Indonesia rely on family support according to surveys?

According to a 2022 survey by Manulife Investment Management, most retirees in Indonesia only receive about 20% of their pre-retirement income. As a result, many of them continue to work or depend financially on their children, contributing to the sandwich generation phenomenon.

What role does financial literacy play in the sandwich generation phenomenon in Indonesia?

Low financial literacy in Indonesia contributes to the sandwich generation, as many people fail to plan for retirement. Without adequate savings or investments, elderly people rely on their children for support, perpetuating the cycle of financial dependence and the sandwich generation.

How can digital banking help individuals in the sandwich generation manage their finances?

Digital banking offers features like automatic separation of funds into different accounts for specific purposes (e.g., family expenses, emergency funds, education costs). These tools can help individuals better manage their finances, especially those who juggle multiple financial responsibilities.

What practical financial tips are provided for managing finances in the sandwich generation?

One practical tip is to separate your bank accounts based on specific goals, such as daily expenses, saving for education, or emergency funds. This helps keep your finances organized and prevents confusion. Additionally, using digital banking apps like Line Bank can automate this separation and make financial management easier.

Why are Indonesian retirees often financially unprepared for their later years?

Many Indonesian retirees are financially unprepared because of a lack of access to quality financial education and a reliance on social security or company pensions that are insufficient. Some also depend on their children to take care of them, instead of building independent wealth through savings or investments.

What can younger generations do to avoid becoming part of the sandwich generation?

Younger generations can avoid becoming part of the sandwich generation by improving their financial literacy, planning for retirement early, and making use of modern financial tools such as investments and savings plans. Starting to save and invest early can help ensure that they are financially independent in their later years.