Tired Of Bending Over (Social Security)

Komo1000news ^ | 2/28/04 | Ken Schram

[Orange1998]

This year I think we are going to have some good weather down here. Must be the Gulf Stream. Have you notice the difference.

[Texasforever]

Must be the Gulf Stream. Have you notice the difference.

Yep, it is the first year in a long time when it actually has been “seasonable”.

[Orange1998]

They say Great Britain will be to cold to live soon. Who knows Houston may get that "Gold State Bridge" weather after all.

[Congressman Billybob]

I'm closer than you. I'm 62 now.

The tough part is how many people, defined by age, would be grandfathered into the current definitions. People who are 60 now have been planning their retirements for a long time. I would leave their plans alone. For those 59 or less, take the following steps:

1. Increase the age of eligibility by six months every year, until full SS settles in at 70, and partial SS could be set at 65. This roughly matches the longer life spans we now have.

2. KILL THE FAT CONGRESSIONAL RETIREMENT PLAN. Put them all on SS only, and dump the saved money into real people's retirement plans.

3. Adjust the COLA so it matches, rather than exceeds the true COLA increases.

4. Yes, do engage in selling or leasing federal property. You think excessive federal ownership of land is just a western problem. Not so. Half of Macon County, where I live in the Blue Ridge, is owned by the feds.

5. Allow all citizens to invest up to 10% of their SS contributions in private investments. Did you know that there is no ten-year period in history, including during the Depression, that the stock market has failed to OUT-PERFORM the "return" on SS?

There, you asked the question, and I wrapped my hands firmly around the "third-rail" of American politics. That's the way I campaign. I answer any question that anyone asks.

John / Billybob

[Neanderthal]

"I don't think it works that way...ex: lets say a person works 30 years with an average salary of 40K @ today's 6+% SS tax, that only comes out to approx $72,000. It only takes about 6-7.5 years to collect that money thru SS."

Where did you get 6%? It more like 13%.

[Choose Ye This Day]

Each employee's SS contribution, I think, is only 6%, but the employer has to match with another 6%.

The total FICA is 7.65% from the employee, and 7.65% from the employer--6% for Social Security and 1.65% for Medicare. I think that's how it goes--I'm a bit rusty.

[Choose Ye This Day]

Oops. It's actually 6.2% for SS, and 1.45% for Medicare, if the website I just checked is accurate. But that's still 7.65% for each party, employee AND employer, for a grand total of 15.3%!

[FITZ]

So what do you tell the 85 year old lady who lost the (income earner) late husband.

I would tell her that my grandfather worked full time until he was 84 --- and that my father is well into his 70s and still working full time.

[FITZ]

I think they need to start phasing Social Security out --- we need to admit that the government has squandered the money --- it's not there. Just start paying people every month only what they were putting in a month. I'd be glad to just get out what I put in --- no interest added.

[FITZ]

Even though there may be no legal right to SS, after 40 years of paying into the system there is a moral and ehtical responsibility for the Federal government to uphold its end of the implicit promise.

But the money is already gone --- and that's with the USA having an extremely fast growing population --- the population of this country doubled in the last 50 years --- that's since the baby boomers were born. The system can't survive even with a rapid growth of population, it needs to be ended --- but as painlessly as possible. Everyone should know the money isn't there so they can make plans not to retire or retire only if they have enough other money saved. It's healthier to stay active and go on working anyhow.

[roadcat]

I think they need to start phasing Social Security out --- we need to admit that the government has squandered the money --- it's not there. Just start paying people every month only what they were putting in a month. I'd be glad to just get out what I put in --- no interest added.

Back in the mid-80's, Greenspan put initiated an increase in SS taxes to fund Social Security for the Baby Boomers. More money went into the fund than was spent for SS costs. The idea was that as the fund grew, it would bear interest and have a pile of money thru 2040 or thereabouts.

Unfortunately, Congress raided the SS fund to pay down the federal budget deficit, and conveniently hid the I.O.U. note. They lied to the people, and the people have forgotten! They already raised the SS tax back in the 80's to make it solvent. Then stole the money. Don't let them do it again. As you said, time to start phasing SS out, because the bastards in Congress will keep stealing our money.

[Nick Danger]

I have no sympathy for liberals who accept the "wishes are horses" school of economics. Anybody who is now 50 or 60, who did not see this coming at least 25 years ago, just wasn't paying attention.

Even if it were possible, there is something inhuman and creepy about an older generation using the force of government to transfer income from the generation raising the society's children, to themselves. That is just cosmically wrong.

Fellow boomers, please join me in having a nice long puff on your cigarette. If you don't smoke, start. The best thing to do here is to get the hell out of the way at some reasonable age. Let this intergenerational transfer nonsense die with the FDR worshippers. It is a fundamentally sick idea.

[searchandrecovery]

We're too big to Weimar, right?

Home Depot's having a sale on wheelbarrows this weekend.

[Orange1998]

Count your family lucky. Not everyone is healthy enough to work in their 80's much less walk unassisted. Next time your out open your eyes and see how the average 85 yr old functions in life.

[FITZ]

I think that's one reason it's healthier to go on working --- I realize not everyone does but many people decline fast after they retire, too much sitting around isn't good for them. Working keeps people sharp.

[FITZ]

Yes --- it's past time to just start phasing it out and let people plan for their own retirement --- if they choose to retire they need to save up for it.

[ancient_geezer]

the S.S. tax but you may NOT collect any pension from it,,,,,,will it be called a felony then?

No it will be called what it is, income tax.

Title 26 US Code Subtitle C Sec. 3101. Rate of tax

• (a) Old-age, survivors, and disability insurance
  In addition to other taxes, there is hereby imposed on the income of every individual a tax equal to the following percentages of the wages (as defined in section (a)) received by him with respect to employment (as defined in section (b)) - ***

• (b) Hospital insurance
  In addition to the tax imposed by the preceding subsection, there is hereby imposed on the income of every individual a tax equal to the following percentages of the wages (as defined in section (a)) received by him with respect to employment (as defined in section (b)) - ***

Title 26 US Code Subtitle C Sec. 3501. Collection and payment of taxes

• (a) General rule
  The taxes imposed by this subtitle shall be collected by the Secretary and shall be paid into the Treasury of the United States as internal-revenue collections.

[Atlas Sneezed]

My part of FICA is 7.65% of my salary (of which, I believe, 1.65% goes for Medicare and the other for Social Security).

My employer has to pony up and match another 7.65%.

---

Which means that the tax on your being employed is about 15%.

The fact that your employer's accountant makes the pay stub look like you have a smaller gross, and half the FICA, is irrelevant.

[GOPJ]

You're right, it's a shell game.

I know that for a fact. Social Security Disability and SSI are the new welfare for the under 40 bums. No further questions asked. No further re-hab and re-training required

[GOPJ]

Democrats specialize in the politics of resentment. If it can be coveted, democrats will exploit it.

Yes, I have been wondering how many welfare recipients were shifted onto Disability. I don't think that the Democrats want generational warfare -- they want as many people as possible dependent on a government check -- either as recipients of or working for the government. They tend to vote for the Democrats