Social Security: A Broken Socialist Dinosaur

[Geee]

Daily Signal

It seems many still harbor, or want to perpetuate, the illusion that our Social Security system is not in trouble.

Let me quote here from a press release from the Social Security Administration released March 31, 2023:

The Social Security Board of Trustees today released its annual report on the financial status of the Social Security Trust Funds. The combined asset reserves of the Old-Age and Survivors Insurance and Disability Insurance (OASI and DI) Trust Funds are projected to become depleted in 2034, one year earlier than projected last year, with 80% of benefits payable at that time.

In 2034, per the report, “if Congress does not act before then … there would be sufficient income coming in to pay 80% of scheduled benefits.”

 

It couldn’t be clearer. In 10 years, with no action from Congress, everyone will begin receiving 80% of what they are currently receiving, or promised, under the existing Social Security system.

Can anyone imagine getting a notice from a private retirement provider saying that in 10 years all beneficiaries will begin receiving 80% of what they were promised?

How did we get into this situation? It’s the wonders of government planning, of socialism.

Social Security is not a pension program based on investments. It is a government tax and spend program. The stipends of current retirees are paid with the payroll tax of those currently working. Because life spans have increased and population growth has decreased, there are far fewer working now to support each retiree than was the case years ago. Socialism is always mugged by reality.

The Committee to Unleash Prosperity estimates that over the last 40 years, the annual real return of Social Security for “the typical middle-class worker” has been about 1% per year.

Today, 30-year government bonds yield over 4%. The historic long-term return on stocks is 6%. Inflation adjusted.

[Valin]

1 hour ago, Geee said:

Daily Signal

It seems many still harbor, or want to perpetuate, the illusion that our Social Security system is not in trouble.

Let me quote here from a press release from the Social Security Administration released March 31, 2023:

The Social Security Board of Trustees today released its annual report on the financial status of the Social Security Trust Funds. The combined asset reserves of the Old-Age and Survivors Insurance and Disability Insurance (OASI and DI) Trust Funds are projected to become depleted in 2034, one year earlier than projected last year, with 80% of benefits payable at that time.

In 2034, per the report, “if Congress does not act before then … there would be sufficient income coming in to pay 80% of scheduled benefits.”

1. It Must Election Time!

2. How many times in the last 40+ years have we read this story? Does The Grace Commission ring a bell?

3. There was  a guy in 2015-16 that ran his Presidential campaign on actually Doing Something about this.

 

Needless to say He lost, and  here we are 19 years later talking about the Same DAMN Thing.

[Geee]

13 minutes ago, Valin said:

1. It Must Election Time!

2. How many times in the last 40+ years have we read this story? Does The Grace Commission ring a bell?

3. There was  a guy in 2015-16 that ran his Presidential campaign on actually Doing Something about this.

 

Needless to say He lost, and  here we are 19 years later talking about the Same DAMN Thing.

Well, with the current parents unable to afford to put aside money for retirement and SS going broke at about the same time they are at retirement age - a perfect reason for normally sane people to raise their hands for socialism. Self preservation.

[Valin]

8 minutes ago, Geee said:

Well, with the current parents unable to afford to put aside money for retirement and SS going broke at about the same time they are at retirement age - a perfect reason for normally sane people to raise their hands for socialism. Self preservation.

My point is for 40+ years (and  probably before that) stories have been written, white papers released, warnings issued and nothing really done. Will this be asked of Any candidate (at any level) in this election? Certainly not to whoever the Dems nominate, or Donald Trump. Though They Should.

I will Gross this year a bit over 27k, and I was Lower Middle Class. God only knows what someone Middle/Upper Middle class is grossing. Ay some point it WILL collapse. I just hope its After I'm Dead.

As Chris Christie said Entitlements That is whee The Money is. Not Defense, not  Foreign Aid, Entitlements (medicare. medicaid,  Social Security, Unemployment Insurance, and Welfare Programs. That's where The Real Money is being spent.