Social Security rationale (Congress, dollars, economy, retirement)

[VTHokieFan]

Could any statist neo-liberals or neo-conservatives give me a reason why I should pay social security? Ok, put "because it's the law" aside. I want legitimate reasons why Social Security is competitive with other retirement savings vehicles.

Let's pretend a new law is passed: you must pay 7.65% of your income into some sort of plan, but it can be any plan, not just federal social security, although that is still an option.

[Toyman at Jewel Lake]

Only a limited portion of your SS contributions are a retirement savings vehicle. Even less so if you have actually contributed to other sorces of income (part time job/401k/IRA). When you have other sources of income your SS benefits are taxed.

A large portion of SS receipts are spent on those with "disabilities", I recall reading that it's about 1 in 4 dollars of SS funds, but I can't verify that. While retiree recipients may typically live 20 years or so on SS benefits, those on disability benefits can receive these much of their lives, ultimately costing far more than a retired individual.

If you think your SS payroll tax is going for paying your retirement benefits, you're sadly mistaken. Sure, its a portion, but much is just another form of wealth distribution.

[jetgraphics]

Originally Posted by VTHokieFan

Could any statist neo-liberals or neo-conservatives give me a reason why I should pay social security? Ok, put "because it's the law" aside. I want legitimate reasons why Social Security is competitive with other retirement savings vehicles.

Let's pretend a new law is passed: you must pay 7.65% of your income into some sort of plan, but it can be any plan, not just federal social security, although that is still an option.

(ahem)
What law imposes the requirement for all Americans to enroll and participate?
What law punishes any American who does not enroll or participates?
(in the United States of America)

[Winter_Sucks]

We need to end social security. Phase it out over the next few decades and let people decide what they want to do with their own money.

[newhandle]

When the market tanks like it did in '08-'09 all of those who touted the market as the best investment vehicle got an awakening. They yelled and screamed and Congress changed the amount they had to withdraw to accommodate the markets. Social Security is but one part of a balanced retirement plan.

Before social security passed origionally, the elderly were the poorest sector of the American economy. A nation cannot prosper when such a large number of people are poor and uncared for. A nation cannot prosper when children who don't have parents are not cared for. (Of course this was added later.)