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To: Kaslin
The reason we have such out-of-control spending and such difficulty dealing with it is because of what Al Gore would probably call an "Inconvenient Truth," one that may very well upset many of the people reading this article. The biggest reason we have such a huge deficit is because so many middle-class Americans are, or are about to, receive Social Security/Medicare benefits that cost much more than they've paid into the programs in taxes.

The fallacy of how much one puts in vs how much they take out, ignores a important factor; return on investment. I know, I know government taxes do not provide a return on investment, but if it did Social Security would work.

I am one who happened to log my tax records for my entire working career. The amount I put into SS, would now be worth $1.5 million, and provide a income of $60,000 per year if that money were invested almost anywhere but in the pit of America, the Social Security trust fund.

9 posted on 07/19/2011 7:32:01 AM PDT by RDasher ("El Nino is climate, La Nina is weather")
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To: RDasher
The amount I put into SS, would now be worth $1.5 million, and provide a income of $60,000 per year if that money were invested almost anywhere but in the pit of America, the Social Security trust fund.

I used to teach an engineering finance course at a public university. That was one of my favorite time-value-of-money examples: How much would your SS investment be worth if you put it in a diversified stock portfolio? Nevermind the employer match, the SS system pays about 3% - not really keeping up with inflation. If people only knew...

12 posted on 07/19/2011 7:40:34 AM PDT by GOP_Party_Animal
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