Social Security a Ponzi Scheme?

1. 72

   Ralph Deedsposted 13 years ago

   Is Social Security a Ponzi scheme as claimed by GOP presidential candidate Rick Perry or can it continue to pay full benefits for 25 years and can easily be put on a sound financial footing for the forseeable future with a few minor changes as claimed by the Social Security fund trustees?

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   1. 60

      lady_love158posted 13 years agoin reply to this

      That's a false choice. It can be a yes to both. It's unsustainable in its present form and should be fully funded out for 75 years.

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      1. 72

         Ralph Deedsposted 13 years agoin reply to this

         Social Security taxes are invested in special U.S. Treasury bonds. Theoretically, Congress could default on those bonds, but that's a very remote possibility. Here's a factual explanation of how Social Security funding works:
         
         http://www.ssa.gov/oact/progdata/fundFAQ.html

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2. 87

   lovemychrisposted 13 years ago

   Bernie Sanders say all you would need to do is raise the cap on FICA to $250,000, instead of the $106,00 it is now, and it would be solvent for 75 more years.
   
   But you know darn well the Republibaggers won't do it.
   They have already pledged to not raise taxes...no matter what.
   
   They are into shrinking, not caring!

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   1. 72

      Ralph Deedsposted 13 years agoin reply to this

      The earnings cap should be raised and indexed.

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3. 59

   Moderndayslaveposted 13 years ago

   I love the word "Entitlement" Like I haven't paid into this Black Hole for 30 years.

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   1. 72

      Ralph Deedsposted 13 years agoin reply to this

      Yeah, that bothers me, too. It's one of the most successful of the New Deal programs. Without it we'd be tripping over beggars on the sidewalks like Bangladesh.

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4. 61

   Gail Anthonyposted 13 years ago

   An individual that pays into the system for 40 years should have enough to pull from the system for 10-12 years if no interest were ever paid on the money. SS checks are based on an individual's earnings in the final years of his/her working life. Only 79% of Americans reach retirement age. Only 60% get to 75. The main problem has to do with administrative expenses, especially Medicare, and the large number of questionably disabled people collecting Social Security along with the costs of the support system, rental subsidies, utility subsidies, food stamps, etc.

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