The Double Ninth Festival, a traditional holiday to honor elders, this year falls on Oct. 4, and local governments have already started giving out cash gifts.
People older than 65 in Nantou County received NT$1,000 (US$31.96) each, while local townships gave an additional cash gift of varying amounts.
The most fortunate were those living in Caotun Township (草屯), who received an additional NT$1,000 each after the township mayor promised during the 2018 election campaign to increase the amount from NT$500.
As the county has 95,510 people older than 65, making up about 19.88 percent of its population, the Double Ninth gifts would amount to NT$170 million. Nationwide, the total spent on such handouts exceeds NT$6 billion, shared among 4 million senior citizens.
The total spent is sure to increase as the nation’s population ages, and this is just the Double Ninth cash gifts: There are other senior welfare benefits available.
Ministry of the Interior data showed that Taiwan’s population in 2006 was 23,539,816, with 3,106,105 people older than 65, or 13.2 percent of the population.
Last month, the data showed that the population was 23,194,554, of which 4,004,096 were older than 65, or 17.26 percent of the population. In 16 years, the over-65 group rose by 897,991, and as the population started declining for the first time in 2019, more people are dying than are being born.
As Taiwan’s fertility rate is one of the lowest in the world, and the nation is predicted to become a super-aged society in three years, the government should use the limited resources it has more effectively.
It should raise the age at which people are defined as a senior citizen.
When the Senior Citizens Welfare Act (老人福利法) was promulgated in 1980, a senior citizen was defined as anyone older than 70. Although the implementation of the National Health Insurance system in 1995 meant that people started living longer, the law was amended in 1997 to change the definition to those older than 65, in line with the international norm.
Today, people older than 65 are much healthier than people the same age 50 years ago, yet after they legally become a senior citizen and eligible for more benefits, they increase the financial burden on the state coffers.
Ministry of Finance data showed that as of the end of June the central government’s debt was NT$6.16 trillion, or NT$266,000 per citizen. Local government debt was NT$775.7 billion.
If the birthrate continues to fall and the number of senior citizens increases, social welfare expenditures would inevitably put the squeeze on other government projects.
I once saw a sign in Taichung Tzu Chi Hospital that said it prioritizes elderly patients, which it defined as anyone older than 85. Senior citizens are often seen pushing their 85-year-old parents in wheelchairs. Priority treatment in hospitals is different for seniors, but the principle is the same.
Last year the average annual income in Taiwan exceeded US$30,000 for the first time, but the wealth gap continues to grow and the poor are still getting poorer. Older Taiwanese are not necessarily middle-low-income earners, so the wealthy could also be eligible for senior citizen benefits.
The government should consider increasing the age at which people are defined as senior citizens.
Wang Juei-hsing is a former head of the Taiwan Provincial Government’s Land Development Division.
Translated by Paul Cooper
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