Proof SS is Ponzi Scheme from the USA balance sheet!

Discussion in 'Economy' started by healthmyths, Dec 10, 2011.

  1. healthmyths
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    healthmyths Gold Member Supporting Member

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    Down load this file from the Government Accounting Office (GAO)
    www.gao.gov/financial/fy2010/10stmt.pdf

    Financial Statements of the United States Government
    for the Years Ended September 30, 2010, and 2009

    Go to
    Page 14.. Social Insurance Summary..
    (copied exactly as stated)

    Expenditures for Scheduled future benefits :
    $63.287 TRILLION!

    Present value of future expenditures in excess of future revenue:
    $31 Trillion!

    In other words $31 trillion WILL BE OWED then what will be available!

    Does the above fit the definition of Ponzi scheme?
    A Ponzi scheme is a fraudulent investment operation that pays returns to its investors from their own money or the money paid by subsequent investors, rather than from any actual profit earned by the individual or organization running the operation.

    The system is destined to collapse because the earnings,
    if any, are less than the payments to investors.
    Ponzi scheme - Wikipedia, the free encyclopedia

    change "investors" to beneficiaries and the definition fits!

    So I ask ANY logical sane, rational person to agree that if the GAO states
    there will be $31 trillion shortfall, i.e. less money then available to pay out,
    i.e. PONZI SCHEME..
    IT IS A PONZI SCHEME AND THEREFORE ILLEGAL!
     
  2. Matthew
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    Matthew Blue dog all the way!

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    Yeah, one that most of this country relies on to get through life(retirement years). Most people work there ass off paying into such for 20, 30, 40 years...You think the vast majority of this country is going to do that than vote to take it apart? You must be from another planet. Who cares if it is a ponzi sheme--- It's the kind that most people want and strongly support in this country. Only the far right supports people saving up their own money as that would take to much brain power for most of the idiot to understand. You have to understand the majority.
     
  3. Old Rocks
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    Old Rocks Diamond Member

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    Make the amount the individual pays in applicable to all income. SS is secure for the foreseeable future.
     
  4. Full-Auto
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    Full-Auto Gold Member

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    The only problem I see with the breakdown that I disagree with... SS is already broke. Democrats insisted they spend the money and now its gone.
     
  5. healthmyths
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    healthmyths Gold Member Supporting Member

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    So I take it that you aren't in favor of anyone under 55 being allowed to tell social security to take their forced payments each paycheck and to direct deposit into a SAVINGS account that the worker can't touch until retirement and left to the power of "compound interest" could grow to over $400,000 just at simple interest of 3%?

    You're saying with the Internet, and millions of workers now using 401Ks, that these same "idiots" couldn't at the minimum have accumulated that money so at retirement.. THE GOVT. doesn't have to pay?

    Your indictment of the majority of workers is the issue.. you just believe as the intellectual elites that 60% or more (majority) of Americans are stupid!

    I KNOW for a FACT YOU ARE WRONG!

    I KNOW for a fact that ONE of the culprits in fostering this elitism attitude is the Mainstream Media! Note how often people like Obama clearly state their superiority to the rest of us!
    The MSM, the Democrats/ Obama supporters ALL clearly believe they are smarter then MOST people!
     
  6. JakeStarkey
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    JakeStarkey Diamond Member Supporting Member

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    The OP fails by definition.
     
  7. Wacky Quacky
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    Wacky Quacky Silver Member

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    All I want is the option to opt out of SS and take care of my own retirement. The rest of the country can continue to believe in a failing system if they want to, but leave me out of it.
     
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  8. healthmyths
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    healthmyths Gold Member Supporting Member

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    Evidently YOU'VE NEVER been an employer!
    If so you would KNOW how totally STUPID that comment is!
    Employee pays 4.2% today.. EMPLOYER STILL pays 6.2%!
    Did you know that?
    Did YOU KNOW YOUR employer pays 6.2% of your salary up to the cap of $106,800 for YOUR benefit in social security?
    NO I don't think you did.BECAUSE IDIOT ...
    IF as you suggested the cap is lifted ..
    ALL employers would be paying 6.2% ON ALL SALARIES paid.
    IDIOT!!!
    What kind of skyrocketing employee costs would that create?
    As an employer I would immediately stop:
    1) All health insurance plan payments!
    2) All 401k contributions.

    And guess what?? YOU the employees" costs skyrocket!

    The Social Security tax is also capped at a maximum wage base of $106,800 for the year 2011.

    BUT here are the TAX REVENUE FACTS!!!
    down load this file:www.gao.gov/financial/fy2010/10stmt.pdf

    United States Government
    Statements of Social Insurance Page 12
    Present Value of Long-Range Actuarial Projections
    In 2010 there was $672 billion paid in by employers and employees on then an estimated $10.838 Trillion in wages/salaries ($672 billion/6.2%)

    Doing what YOU suggested:
    Taxing ALL $10.838 trillion at 6.2% and the employer paying 6.2% would generate an additional $455 billion!

    When you divide the SS shortfall of $31 trillion (Income less outgo)
    that means 68 years of taxes at $455 billion per year to make up the
    differences!

    AND Then you haven't calculated the AFFECT on the GDP!
    Take out $455 billion a year from the economy!
    FACT: You evidently never heard of "economic multipliers".
    According to this web site:
    http:www2.econ.iastate.edu/research/webpapers/paper_13143.pdf

    For every one million dollars spent in the economy:
    • $1.188 million in total economic activity takes place
    • Each million represents 7.7 workers and assuming payroll taxes, FICA,
    FUTA, Medicare, SS of 25%
    • Each million spent provides $205,829 in labor incomes

    BUT YOU WANT $455 billion REMOVED and SPENT by the Govt instead???
     
  9. NYcarbineer
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    NYcarbineer Diamond Member

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    How can SS be broke if everyone is getting their SS checks every month?
     
  10. NYcarbineer
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    NYcarbineer Diamond Member

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    What 'savings' account pays 3% interest currently?
     

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