Do you feel anyone under 55 be able to direct SS deductions

Discussion in 'Politics' started by healthmyths, Aug 5, 2012.

  1. healthmyths
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    healthmyths Gold Member Supporting Member

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    to their local bank savings account? Or to be allowed to accumulate over 35 years to $300,000?

    Almost anyone with financial acumen know that if a person is allowed to accumulate their Social security deductions at a modest 3% tax sheltered for 35 years would amass over $300,000. (See this simple savings calculator
    Simple savings calculator -- Bankrate.com

    Now if this same person directed the monthly payments of $400 deducted automatically each month for 35 years into vehicles accumulating at the average of 6%.. almost $600,000!

    Again this would be CONTRARY to DEMOCRATS NOT invested in the "stock market" unless directed! NOT go in affect for anyone over 55. NOT go into affect if the person chooses NOT to be self directed.
    But of course the DEMOCRATS aren't telling people that!
    All the plans of knowledgeable financially aware people is that if left alone and saving at the rate of simple compound interest at 3% to 6% the INDIVIDUAL can have their OWN estate of at least $300,000 to as much as possible without the Government having to pay a dime!
    NO money out by the government for these accounts directed by the employee!
     
  2. healthmyths
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    healthmyths Gold Member Supporting Member

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    Now if the individual's total SS/Medicare deductions were allowed to accumulate the individual would have in a simple savings account FDIC insured of 3% and with the monthly deduction of
    6.2% employer 4.1% individual 1.45% employer & 1.45% employee total deduction on $40,000 annual salary of 13% or almost $400,000 to $700,000 at a 6% annual rate of return.

    So then the government has NO SS/Medicare/Medicaid obligations to pay out .. the individual can take care from their accumulation!
     
  3. healthmyths
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    healthmyths Gold Member Supporting Member

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    Assume worker started at age 25 worked 35 years average annual salary $40,000 putting away
    forced deductions of $450/month at the below average annual yield of these BOND funds of:11%

    Total accumulation over 35 years: $2,600,000!

    MassMutual Premier High Yield A (MPHAX) invests a large proportion of its assets fixed income securities with relatively lower ratings.. The high yield mutual fund has a five year annualized return of 6.22%.

    Transamerica Partners High Yield Bond (DVHYX) seeks high current income. The majority of its assets are used to purchase junk bonds and related securities. The high yield mutual fund has a ten year annualized return of 7.89%.

    Michael Weilheimer is the fund manager and she has managed this high yield mutual fund since 2000.
    Delaware High-Yield Opportunities A (DHOAX) invests the majority of its assets in corporate bonds rated below investment-grade by renowned ratings firms such as Standard & Poors. The fund may also purchase unrated securities of similar quality. This high yield mutual fund returned 19.57% over the last one year period.

    John Hancock2 High Yield 1 (JIHDX) seeks high total return. The fund invests the majority of its assets in corporate bonds, preferred stocks, government and asset backed securities. It may purchase foreign bonds as well as fixed-income securities denominated in foreign currencies. It may also invest in fixed and floating rate loans. The high yield mutual fund has a three year annualized return of 12.14%.
     
  4. uscitizen
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    uscitizen Senior Member

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    Only if he legally signs away all SS benefits and if married so does his wife to any of his SS beneifts.
    This would be kept on record and he would never be eligable for SS beneifts.
     
  5. uscitizen
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    uscitizen Senior Member

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    Self employed farmers are the worst SS scroungers. Pay no SS until about 55 and then pay for 5 years so they can go on the draw.
     
  6. Full-Auto
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    Full-Auto Gold Member

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    YES!!

    If that ten percent would have been allowed. With the Market crashing like it did.......

    You would still have money in your account.

    Remember, Democrats cowered.
     
  7. uscitizen
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    uscitizen Senior Member

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    Yep how did all yer 401K's do?
     
  8. Mr. Shaman
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    Mr. Shaman Senior Member

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    Too-young to remember the carnage/RIP-OFFS, on Wall $treet, in the '90s, are you?????

    :eusa_eh:



    [ame=http://www.youtube.com/watch?v=KjmjqlOPd6A]George Bush's "Fool Me Once" Gaffe - YouTube[/ame]​
     
    Last edited: Aug 5, 2012
  9. onecut39
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    onecut39 VIP Member

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    Whaat about disability, survivors and death benefits?

    What you are out of work for a long period? I don't have a single fund or a single certificate of deposit that is currently paying as much as 6%.

    In the first Bush crash I lost $6000 which was remarkable not for how much it was but for how little. I was the perfect chicken. Got all my stuff out and into guaranteed accounts and I got it out FAST!

    Had I not done this I would have lost over 50% of my money. Many people were not as fast or as lucky as I. They lost their ass! That is not an overstatement.

    If you are young you can survive this. If you are over fifty you are screwed!

    If I had simply left everything alone I would have lost well over $150,000, or as your calculations go, half of a lifetime of saving. Now, 15 years later, some of these stocks have still not recovered.

    Full coverage health insurance now costs over $12,000 per year. I had two heart attacks and a serious lung operation after I was 60. Do you honestly think, if I were buying private insurance that it would not have been cancelled or simply not renewed or the premium increased exponentially after that first heart attack?

    As you go along in your life you have problems. You get sick or injured and you are off work. (my heart attack cost me 40 days off. The lung operation 20) At any rate when you are sick or unemployed your stash of cash can go down at an alarming rate. At your calculations you cannot raise your contribution because you cannot afford it.

    It was your income figure........remember?

    You are sure that is what you want?
     
  10. Dick Tuck
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    Dick Tuck Board Troll

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    Where would the money come from to pay current benefits? We're talking about trillions. That train really left the station with the election of 2,000. When we were entering a period of surpluses, and the demand for t-bills were decreasing, Clinton proposed that part of a persons SS be put into the Federal Thrift Saving plan, which offers a variety of investments, including mutual funds to money market funds. Bush chose to give a tax break to the rich instead.
     

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