Under 65 and expecting SS ?

There are good explanations of how it works in various places, including the SSA. Basically, it's never changed. It's the way most pensions work, too, whether they're government or private-industry accounts.

Congress changed the system for the U.S. Postal Service, and damned near drove them broke. Nobody can pay for a whole generation ahead.

You must have not paid any attention to Al Gore.

During the presidential debate, Vice President Gore told the nation, "I will keep Social Security in a lockbox, and that pays down the national debt."

You really have a better memory than that.

Dan

Bullshit. Private industry is required to make payments into a pension account. And this money is invested so that it increases. The government does not have any investments.

Dan

There are already three means tests for Social Security.

First is the amount they credit you with. I do not remember the exact fi gures, but they credit you with 100 % of your earnings up to about $25,000 a year. Then they credit you with something like 50% of your earnings up t o about $50,000. And they credit you with something like 10 % for earnings over the $50,000.

Second social security is income tax free as long as your income is low. B ut they tax 85% of your benefits if your income is above some level. I do not pay much attention to the amount of income where this happens. I alwa ys have to pay income tax on 85% of my Social Security.

And third they make you pay extra for Medicare if your income is above abou t $200,000. Yipee, my wife and I get to pay that too.

I too spent less than many of my friends and saved more. So get to pay mor e taxes now.

Now I agree that Social Security is needed. Too many people will not sav e and need some way that they end up with something. But you ought to be a ble to opt out of some of the FICA taxes in return for not getting as much from Social Security.

And you believed him? I thought you would have known enough about it to know better.

Ah, right, I was thinking about the plan my dad was invested in, with Sears, which put 100% of it into Sears stock. That was before ERISA outlawed the practice, and it was common with very large companies.

The "money" didn't exist. Sears had the money as part of its equity. The value of the stock depended on the success of Sears, like the value of Treasury bonds depends on the success of the US economy.

will keep Social Security in a lockbox, and that pays down the national deb t."

You said no one ever told you that. My reply has nothing to do with what I believe . It was just that people in the government did try to tell you that Social Security was safe because of the trust fund. They made a big thing about the trust fund. Anyone with any sense knew better, but milli ons were deceived.

Big lies sometimes work well enough.

Dan

I don't think I ever heard Gore or anyone else say that. If I had, I would have known enough not to believe it.

Greenspan didn't help, but his argument was pretty arcane. In any case, most people think that economics is balancing a checkbook and learning to bake an apple pie. I just throw up my hands over what they believe. Look at the insanity that BMUS regularly posts. He's got the cost of a Big Mac up to $17 now, with no apology or correction.

Sure.

The fund was sacked during or just after WWII. A long time ago. Was never repaid as stated and they just kept spending and created the IRS.

Mart> >

Then the company says they can't make the retirements and the fund is taken over by the government. And the company dies as planned.

Many pensi> On Monday, August 3, 2015 at 3:15:48 PM UTC-4, Ed Huntress wrote: >

There never was a fund. There never was any money in it. There was nothing to repay. The Bureau of Internal Revenue was created in 1862.

It doesn't say anything about cash. It specifies that the "fund" is kept in the form of Treasury bonds. And the rules are specific about it.