But hey, who cares? I mean I’ll be dead by the time Social Security implodes. I paid into it. I want my money. That most people take out far more in Social Security than they put in in a lifetime means nothing to me. I was promised Social Security and darn it I am going to get my check.
The grand kids can figure it out.
This one isn’t an uplifter but it is a sober assessment which deserves attention. Sobriety is a valuable thing, especially when dodging icebergs.
You know why? Because no one wants to notice. No one wants to talk about Social Security and its problems, its Ponzi nature, its quietly ticking time bomb(s). No one wants to talk about it because we have come to believe that these sorts of things eventually work themselves out. And certainly no one wants to talk cuts, or means testing, least of all the people in Congress who would be slaughtered (likely) at the polls if they did.
So no worries.
The debt monster hasn’t gone away. It hasn’t been tamed. It is growing, lurking, just waiting for interest rates to rise. But right now, few are concerned.
In the words of Yoda, “You will be.”
Some of our older readers might not like this one. Thing is, it’s true.
How much student debt do you think this guy carried? If he ever carried any it was unlikely the kind of sum kids are graduating with now. Do you think he benefited from a generally rising stock market and economy during the 50s, 60s, 70s, 80s, and 90s? He looks pretty well fed and well dressed. But “hands off” HIS Social Security. Your security is less important however.
When I was in college one of the first op-eds I ever wrote was on Social Security in the college newspaper.
Destined to fail from the beginning. We need to figure this out and make difficult choices.
Look, I think there should be a phase out of the old system over say 10 years.
Older people have made calculations with the idea that Social Security would be there forever as it is now. Most people are not economists. They just did their thing in their working life and then retired as they were told they should. If we are going to change social security we should be sensitive to this very important (and very political) point.
Insiders have known about this for a long time, but now it is documented.
In the words of 2 people I spoke to about this story – “How can this be legal?”
Good question. At least they’re stopping it.
You read that correctly.
The Western welfare state is unsustainable. It’s not sustainable in Europe and it isn’t here. It is amazing however that many people insist that government and the welfare (and warfare) state must continue to grow.
One of the least discussed, but potentially most significant, provisions in President Obama’s budget is the use of the “chained consumer price index” (chained CPI), to measure the effect of inflation on people’s standard of living. Chained CPI is an effort to alter the perceived impact of inflation via the gimmick of “full substitution.” This is the assumption that when the price of one consumer product increases, consumers will simply substitute a similar, lower-cost product with no adverse effect. Thus,
This should have been their centerpiece proposal during the last battle. They had the full attention of the country and could have put it to good use.
Watch the “net interest” percentage going forward as interest rates rise. That’s going to put a cramp in our lifestyle.