Elon Musk says saving for retirement may become pointless. How AI and robots could change the future of money

Planning for retirement is an essential part of financial security. It encourages individuals to save and invest during their working years so that they can build a comfortable life after their regular income flow stops. From pension schemes and provident funds to mutual funds, stocks and fixed deposits, people often spend years building a retirement corpus to help cover everyday expenses, healthcare costs, housing and other monetary needs in old age. But Tesla CEO Elon Musk seeks a future where people need not save for retirement because of artificial intelligence.

Elon Musk on AI and retirement

According to Elon Musk, advancement in the field of AI and robotics is likely to create an abundance of goods and services in the near future. As a result, money may eventually lose its current importance. The billionaire recently shared his thoughts on X, as highlighted by technology publication Futurism.

‘Saving money for the distant future is pointless with the advent of super intelligent abundance,’ wrote Elon Musk, reflecting a prediction that he has been making for the past several years. He repeatedly emphasised how AI-driven machines can transform production, reduce costs and gradually alter the current relationship dynamic between employment, income and wealth.

What does Elon Musk believe in

Elon Musk's prediction comes with the belief that AI, along with robotics, can potentially reshape the global economy. With intelligent machinery already becoming capable of performing more human tasks, factories in the future can rely more on automation to manufacture products and deliver services at scale.

Elon Musk suggests that incorporating AI in the workforce could drive down production costs. Apart from that, it can also make a wider range of goods and services readily available. In such cases, people need not spend their energy on retirement plans any longer. They may no longer need to earn as much as they do today to afford the things they need or want.

Final takeaway

This isn’t the first time Elon Musk has talked about retirement and AI. Previously, during a podcast, Musk advised people not to worry about building retirement savings over the next 10-20 years, reported Fortune. He argued that traditional retirement funds could eventually become unnecessary in the age of AI advancement.