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Old 11-30-2016, 04:26 PM
 
Location: Living rent free in your head
31,103 posts, read 13,629,683 times
Reputation: 22152

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Quote:
Originally Posted by TuborgP View Post
Perhaps at age 68 we will not be impacted and Ryan will keep with his plan to exempt those already on Medicare but at any rate if able it is best to be prepared.
The problem will be that as fewer younger, healthier people are on medicare, part B premiums will increase, possibly dramatically. Also, Ryan's 'better way' plan calls for:"raising the age of eligibility from 65 to 67; merging Medicare Part A and B, including the premiums and deductibles; and gradually privatizing the system with government-issued vouchers or “premium supports” to defray the cost of insurance policies purchased by seniors on the open market."
Quote:
Originally Posted by TuborgP View Post
A lot is going to change and I am afraid that in future years those on just SS will find it a rough road to travel if at all. With Medicaid becoming a block grant it will be interesting to see if state differences play out and if we will really have death panels or just cut and dry policy dictating to lives and dies at the public expense. On your own will be another story.
Even states that are determined to use as much of block grant money on direct patient care (rather than on administration costs as some states are likely to do) the amount will shrink every year, it has no provision for increases due to cost of living or inflation. You can look at TANF block grants to see how that works, in 20 years they have lost more than 1/3 of their value

 
Old 11-30-2016, 04:53 PM
 
Location: Living rent free in your head
31,103 posts, read 13,629,683 times
Reputation: 22152
Quote:
Originally Posted by cdelena View Post
'In 2013, the top 1 percent of taxpayers accounted for more income taxes paid than the bottom 90 percent combined. The top 1 percent of taxpayers paid $465 billion, or 37.80 percent of all income taxes, while the bottom 90 percent paid $372 billion, or 30.20 percent of all income taxes.'
from tax foundation research
And the top 1% own 38% of all the privately held wealth in the US and America’s 20 wealthiest people — a group that could fit comfortably in one single Gulfstream G650 luxury jet –* now own more wealth than the bottom half of the American population combined, a total of 152 million people in 57 million households....it's real hard to feel bad about the inequity of their 'tax burden'.
 
Old 11-30-2016, 05:07 PM
 
12,825 posts, read 20,157,976 times
Reputation: 10910
Don't worry about Trump. Worry about whomever is elected in 2024.

That's who's going to be under severe pressure to cut.

There simply will not be enough workers at that point to maintain the system as it currently exists. If SSI taxes were raised on that cohort of workers enough to make the system solvent, they would revolt.

The pressure may actually hit even earlier than 2024.
 
Old 11-30-2016, 05:14 PM
 
29,789 posts, read 34,889,516 times
Reputation: 11715
Quote:
Originally Posted by 2sleepy View Post
And the top 1% own 38% of all the privately held wealth in the US and America’s 20 wealthiest people — a group that could fit comfortably in one single Gulfstream G650 luxury jet –* now own more wealth than the bottom half of the American population combined, a total of 152 million people in 57 million households....it's real hard to feel bad about the inequity of their 'tax burden'.
The bottom half have little wealth. About a third have no savings. If not home equity then what is their wealth accumulation vehicle?
 
Old 11-30-2016, 05:30 PM
 
Location: Living rent free in your head
31,103 posts, read 13,629,683 times
Reputation: 22152
Quote:
Originally Posted by TuborgP View Post
The bottom half have little wealth. About a third have no savings. If not home equity then what is their wealth accumulation vehicle?
That's very true, but it appears that the wheels have fallen off of their wealth accumulation vehicle since 1980, and that's very sad considering that we now have an administration anxious to eliminate the safety nets of medicare, medicaid and possibly Social Security all of which are critical to an aging population many of whom have few assets.

Wealth Concentration Has Been Rising Toward Early 20th Century Levels | Center on Budget and Policy Priorities

 
Old 11-30-2016, 07:27 PM
 
29,789 posts, read 34,889,516 times
Reputation: 11715
One of the problems is that our middle class is no longer taught economic principles in school. There is a core economic principle that is central to wealth creation:

Store of Value-http://financial-dictionary.thefreedictionary.com/Store+of+value

Quote:
Anything with value that may be stored and retrieved at a later date with the expectation that it will still have value. The most common store of value is money, which generally will still be money after being buried underground for some number of years. Other stores of value include real estate, securities and precious metals.
Quote:
an attribute of MONEY, enabling people to hold on to money to finance some future purchase of a product or asset without loss of PURCHASING POWER in the interim. More generally, any other ASSET that can be held and converted into money at the same price as its purchase price can serve as a store of value. In a period of INFLATION, however, the purchasing power of money itself will decline, undermining its function as a store of value and increasing the comparative attractiveness of real property assets the value of which rises with inflation.
At one point the middle class and even many at a lower income level were taught that at home and to a degree in school in college prep and business track level high school classes. That is now gone. The concept if presented at all is usually done in isolation and not in a broader long term comprehensive package of related topics. Even a basic principle about the velocity of money and how money is used presents another perspective which displays how money spent eventually disappears from the economy, if continually spent as it changes hands. There are curriculum projects designed to enhance economic education in our public schools but their impact is limited.

Velocity Of Money Definition | Investopedia

Quote:
The velocity of money is the rate at which money is exchanged from one transaction to another and how much a unit of currency is used in a given period of time. Velocity of money is usually measured as a ratio of GNP to a country's total supply of money.
Velocity is important for measuring the rate at which money in circulation is used for purchasing goods and services, as this helps investors gauge how robust the economy is, and is a key input in the determination of an economy's inflation calculation.
More affluent young people are still given this message is strong dosages and thus have a distinct long term wealth accumulation advantage over others who haven't received the message.
 
Old 11-30-2016, 07:34 PM
 
13,958 posts, read 7,434,967 times
Reputation: 25462
One impact of all this is that all those retirees doing finance slight of hand to stick Medicaid with their long term care bill might want to rethink that strategy. All those ACA opt in states are going to have people clamoring for health care. States will have no choice but to enforce their filial responsibility laws to claw the money back.
 
Old 11-30-2016, 07:43 PM
 
29,789 posts, read 34,889,516 times
Reputation: 11715
Quote:
Originally Posted by GeoffD View Post
One impact of all this is that all those retirees doing finance slight of hand to stick Medicaid with their long term care bill might want to rethink that strategy. All those ACA opt in states are going to have people clamoring for health care. States will have no choice but to enforce their filial responsibility laws to claw the money back.
Won't even make it that far. Medicaid beds which are in many areas are all ready declining will accelerate that process. Folks will die and life spans which for some groups are already declining will continue. The oft discussed notion in this forum of how you can retire on 20-30k will become severely challenged as programs like affordable housing and Meals on Wheels are reduced even more.
 
Old 11-30-2016, 08:03 PM
 
649 posts, read 554,853 times
Reputation: 1877
Quote:
Originally Posted by BayAreaHillbilly View Post
There simply will not be enough workers at that point to maintain the system as it currently exists. If SSI taxes were raised on that cohort of workers enough to make the system solvent, they would revolt.
Not sure why this fact keeps being ignored.

Millennials are the LARGEST generation in American history. They have surpassed Boomers, 75 million to 74 million alive today. They are also the largest generation in the current American workforce and will continue to be for at least the next 20 years.

And Generation Z, or the Plurals, make up 25 percent of the US population and is growing.

The rest of your premise may be correct, but start from a factual place.

Last edited by MG120; 11-30-2016 at 08:15 PM..
 
Old 11-30-2016, 08:32 PM
 
Location: Chesapeake Bay
6,048 posts, read 3,876,223 times
Reputation: 3502
Quote:
Originally Posted by TuborgP View Post
One of the problems is that our middle class is no longer taught economic principles in school. There is a core economic principle that is central to wealth creation:

Store of Value-http://financial-dictionary.thefreedictionary.com/Store+of+value





At one point the middle class and even many at a lower income level were taught that at home and to a degree in school in college prep and business track level high school classes. That is now gone. The concept if presented at all is usually done in isolation and not in a broader long term comprehensive package of related topics. Even a basic principle about the velocity of money and how money is used presents another perspective which displays how money spent eventually disappears from the economy, if continually spent as it changes hands. There are curriculum projects designed to enhance economic education in our public schools but their impact is limited.

Velocity Of Money Definition | Investopedia



More affluent young people are still given this message is strong dosages and thus have a distinct long term wealth accumulation advantage over others who haven't received the message.
Another reason. Life happens. Things like accidents, illness, divorce, job loss.

Happens to many people. I know that from personal experience. And can be very difficult to get past sometimes, many can not.
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