tag:blogger.com,1999:blog-7334408760351487944.post3477109780066491780..comments2023-11-12T06:43:00.060-05:00Comments on Notes on Social Security Reform: Upcoming event: “The retirement crisis: A statistical mirage?”Andrew G. Biggshttp://www.blogger.com/profile/16617460431856611873noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-7334408760351487944.post-38397988209284712302014-03-05T11:55:38.282-05:002014-03-05T11:55:38.282-05:00SS is neither a Ponzi scheme nor an investment. A...SS is neither a Ponzi scheme nor an investment. As a PAYGO program with a planned buffer of 1 years expenses, it should derive 3 to 5 percent of its revenue from interest and it SHOULD be cashflow negative most of the time.<br /><br />A program providing a safety net of more than 50 percent of their income for more than 50 percent of retirees is clearly doing something.<br /><br />I do agree with William that most politicians don't understand SS, but neither does he.Arnehttps://www.blogger.com/profile/00796151499106650732noreply@blogger.comtag:blogger.com,1999:blog-7334408760351487944.post-86420465765855151212014-02-20T20:19:34.157-05:002014-02-20T20:19:34.157-05:00Politicians have no business dealing with other pe...Politicians have no business dealing with other peoples money. They have little knowledge of investment and in many cases have no clue as to the value of a dollar.<br /><br />Social Security is a prime example where politicians can't identify the difference between a ponzi scheme and an investment.<br /><br />Social Security is in negative cash flow for the 19th or 20th year since its inception. Not a good track record.<br /><br />Maybe if they did not take 10.6% of wages for OASI, 1.8% for DI and 2.9% for Medicare we would savers who teach their children how to save. This used to be the case where families actually saved for the future.<br /><br />15.3% of income flushed down the drain and what do we have to show for it? <br /><br />Families have fixed costs just like a business. If there fixed costs increase due to payroll taxes by 15.3%, what happens to savings, household debt, the ability to pay for college, save retirement? It surely does not take a rocket scientist to figure it out.<br /><br />Too many Resident Scholars, Rhode scholars, Phd's with lots of degrees trying to figure out how things work. Guess what it is all simple math.<br /><br />Good Luck!WilliamLarsenhttps://www.blogger.com/profile/00226403551284640494noreply@blogger.com