3 Reasons to Fix Social Security Now!

[ttwtt78640]

IOU's are only as good as the source and there is none better than the U.S Govt.
You will forfeit your assets before SS ever does.

A very big distinction exists in just who that money is owed to. Although "earmarked" as SS "trust me" funds it is not directly promised to any citizen. We have seen numerous changes and proposed changes in the SS "contract" with its beneficiaries. Simply because the gov't has funds means nothing, as they may freely realocate those funds as they see fit - show me ANY legal right you have to get SS that is not subject to change without notice.

Retirement Planner: Benefits By Year Of Birth

 

[Sisyphus]

Actually, I think we already fixed Social Security, during the Reagan Admin, when creative accounting effectively made SS a general fund item. So just fund it. Easy as that.

 

[iguanaman]

As long as we continue to demand tax on every dollar no "wealth" is generated in the Nation. "Rich people" have been taxed. They were taxed on those dollars when they EARNED them as regular income. Don't start playing the money envy card by saying some inherited it. I'd HOPE we can pass our wealth on to our kids. It's part and parcel of the American dream.

If you earned a thousand dollars, paid taxes on it, and then invested it, let's just say in a simple savings account. Why on EARTH should the government tax that money again? Same applies for capital gains, or dividend income. If someone has reached the level of wealth, like say Warren Buffet, who doesn't have regular income, why should they be taxed again and again on their non regular income? It's counter productive to growing an economy. When private sector "wealth" is fueling the ever expanding non linear economy, a society will prosper. The challenge we face presently is all the governmental interference.

What is counterproductive to growing an economy is more and more wealth concentrated in fewer and fewer hands. Progressive taxes are designed to deal with just that problem. Where income is derived from should make no difference in how it is taxed. Even Reagan agreed with that premise.

 

[iguanaman]

A very big distinction exists in just who that money is owed to. Although "earmarked" as SS "trust me" funds it is not directly promised to any citizen. We have seen numerous changes and proposed changes in the SS "contract" with its beneficiaries. Simply because the gov't has funds means nothing, as they may freely realocate those funds as they see fit - show me ANY legal right you have to get SS that is not subject to change without notice.

Retirement Planner: Benefits By Year Of Birth

It's not in any law but there will be hell to pay for any party who thinks they can renege on the US Govt. debt to their citizens. The trust fund money came from the blood and sweat of millions of workers. Good luck with stealing it. Every dime will be paid with interest, don't you worry.

 

[iguanaman]

Actually, I think we already fixed Social Security, during the Reagan Admin, when creative accounting effectively made SS a general fund item. So just fund it. Easy as that.

Actually you are right even though some might think it made the trust fund fair game to steal.

 

[Sisyphus]

Actually you are right even though some might think it made the trust fund fair game to steal.

Borrowing from the SS trust fund is not stealing from it any more than borrowing from Japan, China, Brazil is stealing from those countries. It's backed by the full faith and credit of the United States of America, the richest mo-fo on planet earth.

Try to not lose too much sleep.

Also, enjoy the irony: Reagan Admin folks were anti-SS and no doubt were delighted in thinking that plundering the Trust Fund helped insert a virus into it, when in fact, they unwittingly backed it, for as long as we're a country, with the full faith and credit of the USA.

Pure.

Effing.

Comedy.

 

[head of joaquin]

Borrowing from the SS trust fund is not stealing from it any more than borrowing from Japan, China, Brazil is stealing from those countries. It's backed by the full faith and credit of the United States of America, the richest mo-fo on planet earth.

Try to not lose too much sleep.

Also, enjoy the irony: Reagan Admin folks were anti-SS and no doubt were delighted in thinking that plundering the Trust Fund helped insert a virus into it, when in fact, they unwittingly backed it, for as long as we're a country, with the full faith and credit of the USA.

Pure.

Effing.

Comedy.

The SS trust fund is the largest, more secure, best administered fund on the planet. So of course delusional conservatives claim it's bankrupt. It's the reversomeme. It's what conservative do since basically they just despise SS and the security it give US workers. Conservatives want to foster economic insecurity so that workers lose more negotiating power and have to take lower wages.

That's conservatism in a nutshell: cheap labor.

 

[Sisyphus]

The SS trust fund is the largest, more secure, best administered fund on the planet. So of course delusional conservatives claim it's bankrupt. It's the reversomeme. It's what conservative do since basically they just despise SS and the security it give US workers. Conservatives want to foster economic insecurity so that workers lose more negotiating power and have to take lower wages.

That's conservatism in a nutshell: cheap labor.

I doubt they're that strategic, even. They're nincompoops, drinking one flavor of koolaid: undo the New Deal.

 

[iguanaman]

The SS trust fund is the largest, more secure, best administered fund on the planet. So of course delusional conservatives claim it's bankrupt. It's the reversomeme. It's what conservative do since basically they just despise SS and the security it give US workers. Conservatives want to foster economic insecurity so that workers lose more negotiating power and have to take lower wages.

That's conservatism in a nutshell: cheap labor.

And in typical conservative fashion they are too stupid to realize that lowering wages lowers the purchasing power of their consumers and eventually will bankrupt the corporations that fund their idiocy. What goes around comes around.

 

[ttwtt78640]

It's not in any law but there will be hell to pay for any party who thinks they can renege on the US Govt. debt to their citizens. The trust fund money came from the blood and sweat of millions of workers. Good luck with stealing it. Every dime will be paid with interest, don't you worry.

Did you not see, from the link provided, that the SS contract terms have been, and will further be, changed to the detriment of those retiring later? Simply by reducing (or eliminating) the "automatic" inflation adjustment of SS retirment/disability benefits would make SS solvent. Remember that $1 taken in 1970 is worth over $6 now - simply from inflation. That $1 invested in 1970 at 5% interest (compounded monthly) would be worth $8.55 now.

 

[iguanaman]

Did you not see, from the link provided, that the SS contract terms have been, and will further be, changed to the detriment of those retiring later? Simply by reducing (or eliminating) the "automatic" inflation adjustment of SS retirment/disability benefits would make SS solvent. Remember that $1 taken in 1970 is worth over $6 now - simply from inflation. That $1 invested in 1970 at 5% interest (compounded monthly) would be worth $8.55 now.

SS is settled law. Any tweaking that has been done has been to keep it solvent while still providing the benefits for future generations. The 2.5 trillion in the bank is to cover the baby boomers, once we die off things will be easier. There is no need for a law protecting a Right we all grew up with. Why do you think the GOP is trying to force Obama to make the call about reforming SS? They know it is poison to touch it. Soon HC will be the same. You can't stop progress.

 

[head of joaquin]

I doubt they're that strategic, even. They're nincompoops, drinking one flavor of koolaid: undo the New Deal.

Conservatives do have a ping pong ball quality: saying anything no matter how stupid or contradictory, to support their bankrupt policies.

 

[head of joaquin]

Did you not see, from the link provided, that the SS contract terms have been, and will further be, changed to the detriment of those retiring later? Simply by reducing (or eliminating) the "automatic" inflation adjustment of SS retirment/disability benefits would make SS solvent. Remember that $1 taken in 1970 is worth over $6 now - simply from inflation. That $1 invested in 1970 at 5% interest (compounded monthly) would be worth $8.55 now.

Pssst: SS is not an investment; it's a guaranteed payment. If you want an investment with big returns you have to take risk. (defeating the purpose of social SECURITY)

Why is it that conservatives constantly have to be schooled in how capitalism works?

 

[ttwtt78640]

SS is settled law. Any tweaking that has been done has been to keep it solvent while still providing the benefits for future generations. The 2.5 trillion in the bank is to cover the baby boomers, once we die off things will be easier. There is no need for a law protecting a Right we all grew up with. Why do you think the GOP is trying to force Obama to make the call about reforming SS? They know it is poison to touch it. Soon HC will be the same. You can't stop progress.

:lol: :doh A $17 trillion national debt is progress? :roll:

 

[ttwtt78640]

Pssst: SS is not an investment; it's a guaranteed payment. If you want an investment with big returns you have to take risk. (defeating the purpose of social SECURITY)

Why is it that conservatives constantly have to be schooled in how capitalism works?

SS is no such thing, you are not guaranteed to attain age 65-69 or to become legally disabled before your death. It is almost guaranteed that the gov't will take it out of your paycheck, but not that you will see any retirement benefit from it at all, much less as much as you paid into it. The terms of my SS "contract" changed long after I made my first "contribution" to it.

 

[head of joaquin]

:lol: :doh A $17 trillion national debt is progress? :roll:

Yeah, why did Bush start two vanity wars, cut taxes on the rich and then trash the economy. Good point.

 

[Sisyphus]

:lol: :doh A $17 trillion national debt is progress? :roll:

Zero sum. Much of the $17 Trillion is owed to SS.

 

[head of joaquin]

SS is no such thing, you are not guaranteed to attain age 65-69 or to become legally disabled before your death. It is almost guaranteed that the gov't will take it out of your paycheck, but not that you will see any retirement benefit from it at all, much less as much as you paid into it. The terms of my SS "contract" changed long after I made my first "contribution" to it.

You clearly don't know what a guaranteed payment is, and you're clearly intent on showing it.

Meanwhile. SS is not an investment because it bears no risk. Instead, if you qualify, you get paid. Period. No ifs or buts. No reliance on the market. And you get paid as long as you life -- there is no principal reduction.

See the difference yet?

 

[iguanaman]

:lol: :doh A $17 trillion national debt is progress? :roll:

The fact that we can handle that debt and continue to grow is progress. Growth makes debts less of a worry. Think of it as an investment.

 

[Sisyphus]

You clearly don't know what a guaranteed payment is, and you're clearly intent on showing it.

Meanwhile. SS is not an investment because it bears no risk. Instead, if you qualify, you get paid. Period. No ifs or buts. No reliance on the market. And you get paid as long as you life -- there is no principal reduction.

See the difference yet?

Exactamundo.

 

[jonny5]

I think you overstate this. People will pay whatever they can get away with. if you do not let people get away with a too low rate - then the problem can be dealt with.

But you cant not let people get away with a too low rate. Thats the reality. The rich are the class most capable of using the system to avoid it. You just arent ever going to get more than X dollars. Its the laffer curve.

 

[jonny5]

And in typical conservative fashion they are too stupid to realize that lowering wages lowers the purchasing power of their consumers and eventually will bankrupt the corporations that fund their idiocy. What goes around comes around.

Youve convinced me with your name calling. The only thing you forgot was that its all because we're racist.

 

[jonny5]

Show me the dollars in your bank account. A picture will suffice.

My bank account is empty. Much like the Social Security Trust Fund.

 

[JoeTheEconomist]

Jesus. T-bills, the safest securities on the planet, and you call them IOUs.

No wonder nobody takes conservative economics seriously.

Would you prefer that the fund invest in ostrich farms? It's the red meat of the future, you know.

You do not understand risk very well. If I own $100,000 or even $1 million dollars of T-bills they are the safest securities. When I own $2.7 trillion dollars worth, they aren't very safe at all. It is first dollar risk and last dollar risk. So you really shouldn't lecture anyone on the seriousness of someone's comments.

 

[JoeTheEconomist]

Pssst: most of the assets in the trust fund are T-bills. Do you really expect the fund to keep $3T in cash bearing no interest? More evidence that conservative don't understand basic finances.

The cash portion involves sufficient operating funds to make distribution of SS benefits. In short, the fund is invested like any well-run trust.

You really shouldn't lecture anyone on finances or economics. The Trust Fund has a surplus because the system does not maintain a reserve against future benefits. We call those unfunded liabilities - which grew by $3 trillion dollars last year alone - more than the entire Trust Fund.