Here’s the way you fix Social Security, once and for all. First, the amount of money you’re entitled to is equal to your contributions, what your employer chipped in and the whopping 1% return that the Social Security Administration advertises. In my case, that will be about $120,000. At retirement age, I’d have the option of a lump sum payment or monthly checks until the money is exhausted.
Force people to take control of their retirement, or learn to live a very meager existence in their later years. Even FDR said that Social Security would have to be eventually replaced by private accounts, linked to investments that actually paid a decent rate of return.
Sadly, most Americans don’t understand the concept of long-term investing and compound interest. They’re more than content to remain latched to the government teat, and let someone else foot the bill.
In other words fix it by liquidating it.
I agree but very few of our fellow citizens will.
“Sadly, most Americans don’t understand the concept of long-term investing and compound interest. They’re more than content to remain latched to the government teat, and let someone else foot the bill.”
The teat-latcher include may here on this forum, who should know better.
This is something that could potentially be managed.
Another, far more likely alternative is that at some point in the not-so-distant future nobody gets anything.