How Generation Y Benefits From Social Security

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Wow Dahlimama... sounds a lot like socialism to me. Why don't you just move to Sweden? Oh wait, that’s right... they are reverting from socialism because it didn't work. Maybe Canada then... oh wait...

Luet of NM 1:48AM February 06, 2012

If seniors didn't retire, there would be no jobs for the younger generation.

Piper Light of CA 2:34PM March 17, 2011

Dahlimama thank you.You are exactly right! I couldn't have said it any better.
The corporations and head in the sand politicians and other non thinking people
are causing the economic downfall of the developed world.There is more slavery
in the world now than ever in human history because of the hoarder mentality of
the greedy.I hope they read your words of wisdom and change their ways
before it's to late.

eugene lakeman of MA 10:45PM March 13, 2011

It is untrue that Social Security is like the weather we all talk but no one does anything, we all want to see it, we just differ in HOW it should be fixed. The wealthy want to cut payments and make folks work until they drop dead.They would NEVER,NEVER,NEVER consider putting a cap on on how much you can make and still collect. Even if they are millionaires many times over,they still want what they paid in and as they do not really need it to survive and have enough to retire early if they are not well they couldn't care less about the rest of the middle class (you know, the people that wore themselves out to make the wealthy rich).They ignore the fact of age discrimination. They want you to work until you are sixty or seventy, JUST NOT FOR THEM! So there are ways to shore up SS.
1. Bring back a manufacturing base
2. put a cap on amount you can make and still collect
3. legalize the illegal immigrants so they pay into the system
4. Stop giving unfair tax breaks to the wealthiest and funnel the money to SS
5. deal with wall street reforms so that wealthy insiders can't play fast and loose with our retirement funds ever again.
All that is just for starters,folks there are things that can be given on both sides of the aisle but so far only one side has been asked to give up anything.

dahlimama of NY 4:28AM March 13, 2011

Social Security would be solvent for a much longer period had politicians not raided the fund many times for other purposed and then failed to put the money back in. Had politicians not allowed themselves to be bought by corporate shills we would not allowed all our manufacturing base to go to China to make them wealthy and we would have a healthy tax base to input to SS. Had corrupt politicians not allowed decades of off shoring of corporate headquarters to avoid paying their fair share of taxes we would be in much better financial shape. It is simply NOT TRUE that all our problems are because (as the Joe the economist thinks) that American workers are lazy louts(the FACTS show Americans often work harder,longer and take less vacation than their European counterparts) Our parents were not obliged to provide a college education for us Baby Boomers but we had to provide that for ours as on the job training provided by industry is non existent now that we have no manufacturing base.So maybe JOE needs to give up the arm chair economist idea and check some facts.As for the Conservative( read stingy, I got mine #@*& *&# attitude) Idea to raise the age of retirement flies in the face of the fact that we expect that with the diabetic crisis people will be LESS healthy at a time that the health care industry has gone to high deductible policy's that keep people from going to the doctor until they are in crisis. We will have a sicker ,more disabled population not a healthier one.

dahlimama of NY 4:03AM March 13, 2011

Social Security is like the weather. Everyone complains about it but no one does anything. Well. Until now. www.FixSSNow.Org lists the problems that the system has and the alternatives. We don't believe in raising taxes or cutting benefits because they re-enforce the real problem in Social Security - dismal returns. You can't fix dismal returns with higher taxes or lower benefits. Our belief is that these only make the situation worse, as more people flee the system.
If you think that Social Security is a good deal see above, ask yourself why no one voluntarily participates. If you have a good idea let us know what it is?

Joe The Economist of GA 10:21PM March 11, 2011

Social Security is going insolvent and the government is spending money on advertising.
With the deficit at 14 trillion and roughly 150 million workers, you have every worker must support the interest on about 100,000 in debt. And we aren't keeping up. Over time interest will rise and we will be put in a choice of paying interest or paying retirees. At that time, FICA gets cut, income taxes are up'd, and Social Security goes away.
Bluntly put, you can't be surprised if the future generations that have been left with the debt of the boomers resent the debt and the requirement of taking care of those who created it. The boomers voted for tax cuts so that they could consume more. They didn't save for retirement, so that they could consume more. No generation has arrived at retirement less prepared to retire - and now they expect their children to live like surfs to keep them in the style to which they have grown accustomed.
That wine isn't going to age well.

Joe The Economist of GA 10:10PM March 11, 2011

There seems to be an inevitability to this as governments around the world are going into debt everywhere. Sooner or later, it has to come to an end.
Anybody starting work now who relies on Social Security as their main retirement source of income is heading for a world of hurt. We can already see the boomers starting to retire facing very bleak options and it isn't going to get any better.
We no longer live in a society where government takes care of your retirement. You have to take care of your own financial future. I worry for the current retirees who only have Social Security with inflation likely to hit.
One of the most glaring holes in our education system is retirement investing. It's not as complex as many make it out to be. It is like taking your long term health seriously. If you take care of it now and get used to a healthy lifestyle, you will benefit in later life.
http://www.myplaniq.com/LTISystem/f401k_view.action?ID=5,464 this is about the simplest type of portfolio you can get – six funds – no fancy management – one fund for each of six different classes. Over a five year period, buy and hold has returned 7% and a more active momentum strategy has returned 13%.
This is a simple, easy to understand fund and investment approach that can be used as a benchmark for what others are telling you.
If you start your retirement saving now and put some away every month with a consistent investment policy, you will be building a secure retirement platform.

Simon Napper of CA 4:48PM March 11, 2011

Yes, 75 % is better than nothing and the payroll taxes are dedicated to retirees. At least we will no longer worry about congress squandering any excess payroll taxes, then trying to welsh on what they owe. The trick is how to make up that 25 %. I would prefer some wages be put into a private 401k type fund which invests only in safe, low risk securities like FDIC insured CD's, T-bonds, quality dividend paying stocks, etc. The fund should be out of the reach of congress. They cannot be trusted to do the right thing. I personally prefer Roth-like funds so as to not pay taxes on the distributions and to avoid other tax and penalty traps.

Charles Cicco of OH 2:42PM March 11, 2011