In addition to my earlier piece on Social Security
First of all, in two separate Supreme Court rulings, it was held that the funds that one has payed toward Social Security are not one's property. Under privatized Social Security, the opposite would be true. This means that these funds can be passed on to loved ones upon death, and more importantly, that the money is yours, and you decide what to do with it.
By the way, not all of the money that we pay into Social Security even goes to Social Security. So don't think that it's still like it's your money. No, the Social Security funds taken from our paychecks at the moment more than cover the Social Security program. So where does it all go? Well, what's left over goes to other government programs. What does that mean? It means that in truth, it's really just another method of taxing us, in disguise. And this is why so many government officials don't want to privatize it. That would take away alot of their funds. Privatization would mean that a smaller amount could be taken from your paycheck, and the money would still be yours, and you'd end up getting more back.
Also, take notice, the amount taken out of our paychecks has been increased six times since the creation of Social Security. Why? Because the worker-to-retiree ratio has gone down so much. And as mentioned in my earlier piece, this trend is worsening. The retirement age has also been increased to support this need.
I mentioned that other countries have privatized Social Security, most notably Chile. But there are sixteen others, and more are joining the ranks all the time. Not to mention the three counties in Texas that did so--to immense success--through an old, and now closed, loophole in the original law. And government employees here in the U.S. are allowed to opt out as well, and they have in droves.
But the two greatest benefits of all are the greater returns from the private programs (which also mean higher consumption and production, and lower unemployment), and the economic improvement resulting from the investment of the money put into the private plans--which, for those of you who don't know, is how the amount of money in an account is able to increase over time.
By the way, not all of the money that we pay into Social Security even goes to Social Security. So don't think that it's still like it's your money. No, the Social Security funds taken from our paychecks at the moment more than cover the Social Security program. So where does it all go? Well, what's left over goes to other government programs. What does that mean? It means that in truth, it's really just another method of taxing us, in disguise. And this is why so many government officials don't want to privatize it. That would take away alot of their funds. Privatization would mean that a smaller amount could be taken from your paycheck, and the money would still be yours, and you'd end up getting more back.
Also, take notice, the amount taken out of our paychecks has been increased six times since the creation of Social Security. Why? Because the worker-to-retiree ratio has gone down so much. And as mentioned in my earlier piece, this trend is worsening. The retirement age has also been increased to support this need.
I mentioned that other countries have privatized Social Security, most notably Chile. But there are sixteen others, and more are joining the ranks all the time. Not to mention the three counties in Texas that did so--to immense success--through an old, and now closed, loophole in the original law. And government employees here in the U.S. are allowed to opt out as well, and they have in droves.
But the two greatest benefits of all are the greater returns from the private programs (which also mean higher consumption and production, and lower unemployment), and the economic improvement resulting from the investment of the money put into the private plans--which, for those of you who don't know, is how the amount of money in an account is able to increase over time.
posted by BMD at 12:34 PM
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