Saturday, April 09, 2005

Social Insecurity

I just read a couple of paragraphs from"Nealz News," at www.boortz.com . Neal has a talk show syndicated mostly back east. Mr. Boortz makes more sense than any other talk show guy in the country, that I know of. I certainly wish he was on a Southern California radio station.

In yesterday's Newz, he mentioned the fact that Bush's proposed Social Security reform is pretty much dead because the Democrats are against it, and the Republicans are showing their characteristic spineless aspect, citing the upcoming elections a mere 18 months away.

I could write reams about Republicans, but suffice it to say that they're so scared of the next elections that they literally won't do anything. Allow me to add that I don't think this is all bad. Generally speaking, the less that Congress does, the better off we all are. Full gridlock in that evil place is a nearly ideal state for we who are the productive sector.

There is only one thing that can be done to help Americans with respect to Social Security. End it. We're a lot more sophisticated now that folks were back in the '30s. We know that we have to provide for our own retirement. We know that custom has shifted away from adults in a family caring for their parents after they can no longer work. We're too independent. It'd be unthinkable for me, some time in the future, to move in with one of my sons for the rest of my life. I think a lot of us are like that.

Corporations used to offer pensions to their faithful, long-time employees. Maybe some of them still do that, but increasingly they're withdrawing that benefit because of the expense. Many are offering profit-sharing or 401k's in which they match your deposits up to a certain maximum. Actually, that's how I got mine started.

Social Security isn't enough. Not only isn't it enough, but it sucks money out of your paycheck that might be used to build a real retirement. If I had the money that goes down the Social Security rathole, I could have a helluva 401k.

We have to remember that SS is in financial trouble. Sometime, possible while I'm still alive, SS will no longer take in as much as it has to pay out. Then, or before then, changes will have to be made. These changes will have to be tax increases or cuts in benefits--or a combination. We also have to remember that there are no guarantees. SS is not legally required to give anybody a single dime.

SS takes over $200 a month from your check each month, more or less, depending on your earnings. SS encourages us to forget that our employers must match that. That's money our employers would be adding to our paychecks if not for the SS. Also, if you die before you've gotten your money back, you lose! The remainder doesn't go into your estate, it goes into Uncle Sam's pocket, to be used buying $800 toilet seats.

$400 a month (more or less) that could be used to build a veritable rich man's estate! I'll have to try, sometime, to calculate how much money I'd have today, if my SS money had been invested conservatively for these many years.

I want my money back!!!

Warm regards,

Col. Hogan
Stalag California

1 comment:

? said...

this is something i should probably be worrying about myself, unfortunatly i havn't put to much thought into it.

maybe in another ten years, mayyyybe.