Report Abuse
You have chosen to report the following comment as abusive, offensive, or inappropriate.
Look Copyleft...you claim that Social Security is "Very VERY" successful?!!! Are you out of your mind?!!<br> A past Heritage Foundation study (reported by Beach and Davis, 1998) reveals that the <br> <br> "Social Security system's rate of return for most Americans will be vastly inferior to what they could expect from placing their payroll taxes in even the most conservative private investments. For the low-income African-American male age 38 or younger, the news is particularly grim: He is likely to pay more into the Social Security system than he can ever expect to receive in benefits after inflation and taxes. Staying in the current system will likely cost him up to $160,000 in lifetime income in 1997 dollars."<br> <br> They continue to cite one example:<br> <br> "Social Security pays a very low rate of return for two-income households with children. Social Security's inflation-adjusted rate of return is only 1.23 percent for an average household of two 30-year-old earners with children in which each parent made just under $26,000 in 1996.1 Such couples will pay a total of about $320,000 in Social Security taxes over their lifetime (including employer payments) and can expect to receive benefits of about $450,000 (in 1997 dollars, before applicable taxes) after retiring at age 67, the retirement age when they are eligible for full Social Security Old-Age benefits. Had they placed that same amount of lifetime employee and employer tax contributions into conservative tax-deferred IRA-type investments-such as a mutual fund composed of 50 percent U.S. government Treasury bills and 50 percent equities-they could expect a real rate of return of over 5 percent per year prior to the payment of taxes after retirement. In this latter case, the total amount of income accumulated by retirement would equal approximately $975,000 (in 1997 dollars, before applicable taxes).<br> <br> So, how successful is Social security? Notwithstanding the recent down-turn in stocks, history has shown us that it will continue to improve at a better than SS rate over time...as long as DEMS just GET OUT OF OR WAY!<br> <br> <br> Oh, BTW, how "VERY VERY" successful is Medicare? All I know is that you can't see me in my clinic with Medicare or Medicaid. It's not too popular around here.<br> Phil Mc
By Phil Mc
Search Boortz.com
