Elon Musk has recently suggested that people may not need to worry about saving for retirement in the near future—but financial experts in New Zealand are urging caution.
Speaking on a podcast, the US billionaire argued that putting money aside for retirement over the next 10 to 20 years might be unnecessary. He claimed that advances in artificial intelligence would dramatically reduce the cost of living, leading to a future where everyone enjoys a “universally high income.”
“If what we’re predicting comes true, saving for retirement won’t matter,” Musk said.
However, Dean Anderson, founder of Kernel Wealth, strongly disagreed, calling the idea dangerous for the average person. He warned that relying on the hope that future governments, billionaires, or new technologies will fairly restructure economic systems is not a realistic financial strategy.
“Trusting that centuries-old systems of taxation, ownership, and welfare will suddenly be redesigned in a way that works perfectly for you is not a plan,” Anderson said.
He also pointed out the contradiction in Musk’s message. According to Anderson, Musk’s success highlights the importance of owning assets rather than relying solely on income. “He’s unintentionally showing exactly why people should invest and build wealth,” he said.
Rupert Carlyon, founder of Koura, shared a similar view. He questioned the credibility of such advice coming from someone with enormous personal wealth. “This is a strange message from someone who has hundreds of billions of dollars invested,” Carlyon said.
He added that technological progress over the past two decades has only widened the gap between rich and poor, and he sees little evidence that this trend will suddenly reverse. Carlyon also expressed skepticism about universal basic income, noting that it would require funding and that wealthy individuals have shown limited enthusiasm for higher taxes to support it.
Simplicity’s chief economist, Shamubeel Eaqub, emphasized the difference between creating wealth and distributing it fairly. While technology may generate more wealth overall, he said society lacks effective systems to ensure everyone benefits equally.
“There’s no downside to preparing,” Eaqub said. “If the future turns out better than expected, great. But if it doesn’t, at least you’re protected. What works for Elon Musk is not the same as what works for the global population.”
Christopher Walsh, founder of MoneyHub, echoed the sentiment that individuals must take responsibility for their own financial futures. He warned against blindly trusting online personalities or so-called financial gurus who claim retirement savings won’t be necessary.
“No one else is going to guarantee your retirement,” Walsh said. “The next five to 20 years will bring major changes for workers and retirees in New Zealand. The smartest approach is to be prepared, not to bet your future on robots or speculative technological breakthroughs.”
While AI may bring significant benefits, Walsh concluded, those benefits are unlikely to be shared equally—and the outcome remains uncertain.
