Exactly right WarEagle. I'm 62 and I can see the good sense in the Bush proposal, did folks check their brains in at the door? I've been hoping someone would come up with an investment plan for SS, that's the sort of thing that keeps this good ol' USA economic engine runnin', NOT TAXES.
I've been refusing the AARP geezer crowd for years. I used to take a marks-a-lot and put a black border on their membership drive requests with a special note about what I thought of the organization. Funny, I haven't received any more mail from them in a long time so you see, you can get their attention.
I signed the petition-gladly. I'm not about to support a Leftist organization for a two dollar discount on a lousy motel room.
I thought there was an "UN-AARP" organization, does anyone know of such?
Okay, here's the deal with the proposal.
1. It adds no money to Social Security to cover the costs of the boomers.
2. It takes money OUT of Social Security to create private accounts.
3. It costs $2 Trillion for the transition.
4. The so-called 'fix' is to change the way COLAs are calculated to reduce the payout in benefits. However, most lawmakers say this will not pass in Congress.
5. No one has said how the plan can be paid for, which raises the spector that it will be slapped on the federal deficit and clock up interest like the rest of it.
There are multiple ways that less-than-honest people can take your money in the proposed program:
1. Mismanagement costs (you screw up your investments and you lose)
2. Management costs (overhead for professionals to screw up your investments)
3. Congress picking over the plan and stuffing it with pork (probably the most costly)
4. We end up with the same problem we started with - we can't pay for the boomers - and the crisis rolls around again 5 years down the road (likely)
Yes, I agree that some THINKING is required.