Elon Musk says the impending “supersonic tsunami” of AI and robotics will render retirement savings meaningless, leading to a world of zero scarcity.
The Tesla and SpaceX CEO admitted he was more “optimistic” than most, but insisted, contrary to the sound advice of nearly every other financial expert, that people shouldn’t stress about building their nest egg far into the future.
“I don’t have to worry about wasting money for my retirement in 10, 20 years,” the world’s richest person said on the TV show. Moonshot with Peter Diamandis January podcast. “That won’t be a problem.”
Some of Musk’s controversial views are based on his vision that the world will be transformed by rapid advances in AI, robotics and energy technology.
Mr. Musk’s passionate opinion
Musk predicted that by 2030, AI will exceed the “intelligence of all humans combined.” He also argued that there will eventually be more humanoid robots than humans on Earth. Slowly, traditional jobs will also be replaced and white-collar positions will be at the top of the list.
“For things other than forming atoms, AI can probably do more than half of those jobs right now,” he said.
This advancement could lead to significant increases in productivity, he said, which would exceed “what people would probably consider to be rich.”
In the future, he argued, instead of a universal income, everyone will be able to enjoy a “universal ‘get everything you want’ income.” In the world Musk foresees, the link between individual wages, savings, and living standards will no longer be relevant.
With the help of AI, people will have access to better healthcare than they currently have within five years, even if they don’t have any savings. It also removes restrictions on access to goods, services, and educational opportunities.
Musk’s comments build on earlier claims that AI and humanoid robots will make work “optional” and money irrelevant within 10 to 20 years. Musk has previously likened the future of work to leisure activities such as sports and video games, rather than a necessity for survival.
“If you want to work, [it’s] Similarly, you can go to the store and buy vegetables, or you can grow them in your backyard. It’s much more difficult to grow vegetables in your backyard, but some people still do it because they love growing vegetables,” Musk said at the US-Saudi Investment Forum in November.
Disadvantages of postwork
Indeed, Musk’s predictions for the future come at a time when many Americans are struggling to save money. Due in part to persistent inflation and slowing wage growth, only 55% of U.S. adults say they have a “rainy day fund” that covers three months of expenses in case of an emergency, down from a high of 59% in 2021, according to a Federal Reserve survey. Less than half of those surveyed said they could cover expenses of $2,000 or more with savings.
Research also consistently shows that the majority of Americans are behind on their retirement savings or have little provision for life after work.
Musk is not unaware of the potential downsides of a society where people don’t have to make a living. He warned that high national income could go hand in hand with social unrest, as people could face crises of a more serious nature.
“If you could have everything you want, is that really the future you want? Because it would mean your job wouldn’t matter,” Musk said.
A version of this article was published on Fortune.com on January 12, 202.6.
