Posted on 04/01/2015 8:11:18 AM PDT by Biggirl
Senator Elizabeth Warren (D-MA) said that Social Security should be be made “secure” while increasing benefits in an interview broadcast on Tuesday’s “Rachel Maddow Show” on MSNBC.
(Excerpt) Read more at breitbart.com ...
You can’t really say they dipped into it.
Why did the so called lock box come about for SS funds?.
Still, it’s a bit disconcerting that a leftist senator can possibly be the ONLY politician in washington that is honest about Social Security, even if only by accident.
Disagree with her proposed approach as I do and every American should, she is at least starting the discussion with an honest premise. That’s unusual for a leftist. I’ll give her an extra feather for that.
no, I am not kidding- I hope you realize that they put Social Security money into the general funds and then spend it.. then they pay people ‘benefits’ out of current income tax revenue.
If a businessman tried that he would be jailed.
“Give me all your retirement money, and I will spend it- then when you retire I will pay you out of whatever I am making at that time”
The part I thought you were kidding about is the “supposed to be saving for you” part
Social Security is a tax. Any payout is not “returning your money” it is simply a gift from the people paying taxes in the current tax year, same as a welfare check.
That is the harsh reality of it all. Nobody cares how much you paid in, or when you started paying in.
Each check is a gift facilitated by the government.
Warren wants to make the gift bigger to get votes.
The debt in the trust fund is going to be repaid. However, the magnitude of the trust fund falls far short of what will be needed to pay future obligations. This is due to the lack of an asset growth mechanism which underlies all sustainable pension programs.
We are in complete agreement that the system is unworkable using the current configuration.
“The debt in the trust fund is going to be repaid”
Yes and no. The dollars paying back the debt will be printed with wild abandon, and will therefore be worth far less when repaid. So they will be paid back with 50 cent dollars, or 25 cent dollars, or 10 cent dollars. Technically they will be repaid, yes.
“due to the lack of an asset growth mechanism”
To leftists government is the asset. So as long as there is a dollar out there to be taxed, there is an asset growth mechanism.
Bullfeathers. All that is needed is sector funds, individual company stocks are too much of a gamble. It would take over 18 trillion dollars to become the majority stakeholder in all US companies and there is no way that the federal governement is going to go all in instantaneously.
If the US started down this path, it would drive investment as individual investors would want to ride the wave of new money flowing into the market. It would attract even more foreign investment because the US stock market would have a reduced downside risk. I would estimate annual GDP growth at anywhere from 5 to 7% for the foreseeable future if we just redirected the SS contributions into a mix of 20% Treasuries, 20% High Quality State and Local Bonds and 60% Total Market Index.
The increased tax revenue from economic growth would be more than enough to pay Social Security benefits to current recipients, with a phase out for younger participants. As an added benefit, it would allow the Fed to discontinue Quantitative Easing and market forces would be less distorted.
And most important, it would signal to the rest of the world that investment is the key to the future, and countries all over the world would start doing the same with their social security funds.
The woman has no economic sense.
All lies. The Social Security disability payments now exceed the income. What they are doing is conditioning people to feel the “fund”, which actually doe snot physically exist, needs to become “solvent”, which means a tax increase.
How about kicking off disability those that are not actually disabled, which is about 7 million of the 8 million on disability?
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