Democrats Are Once Again Sabotaging Desperately Needed Social Security Reform

[WorldWatcher]

Yup, it’s a terrible idea. I saw friends spend every cent earned on expensive theater tickets, fine restaurants, international vacations, and the top trim on every new car purchase - and thus have no savings.

I, otoh, saved responsibly for my retirement years, living comfortably but not extravagantly - and now I will be punished for that by having my SS cut in half while my irresponsible friends get MORE than their SS because they have no money?

We should be encouraging saving and self-sufficiency instead of discouraging it.

I actually like the idea of movning from the current SS model of pay-go to mandatory individual accounts in a "Lock Box" for retirement. At retirement age the person could then have choice of "Silos". What I call:

• Cash Out - Lump or Partial Lump Sum distribution.
• Annuity - basically convert the account to a defined benefit system. With options for Survivor, COLA, and guarentee period for just like with purchasing annuities now.
• "Let It Ride" option where the money is kept in an IRA type account that can be drawn on as needed.

The problem has always been how to fund the transition. The idea of the Lock Box type plan is great, if properly funded on the front end. The difficulty is when you divert money away from SS to pay current benefits to allow young folks to begin growing their own retirement assets, is how to fund SS benefits for existing and near retirement people. Then what to do with mid-career people that will be starting their Lock Box late.

It's hard.

WW

 

[WorldWatcher]

All federal employees pay into SS already, just in case you are confused. I always love the comments about Congressman need to pay into social security despite the fact that they have since the 1970s. Probably half of all state workers do also. I'll bet the half that do not, which they did, so they can avoid the ridiculous limits that were imposed on them when they had enough SS credit from other jobs.

Just FYI, I say it's more than half. Just my opinion.

WW
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[Admiral Rockwell Tory]

To your last point, have you noticed that Government employees get exempted from the programs that regular taxpayers are forced into - so that the govt employees get to keep the better deal?

Same thing happened with Obamacare. Regular people were forced onto an inferior program while the exalted government goof-offs got to stay on their better programs - paid for by the regular people.

I have no idea what you are referring to "government workers". Are you referring to federal, state or local?

You can cool your jets like I did when someone posted proof that Congress is on Obamcare,

 

[Lisa558]

I actually like the idea of movning from the current SS model of pay-go to mandatory individual accounts in a "Lock Box" for retirement. At retirement age the person could then have choice of "Silos". What I call:

• Cash Out - Lump or Partial Lump Sum distribution.
• Annuity - basically convert the account to a defined benefit system. With options for Survivor, COLA, and guarentee period for just like with purchasing annuities now.
• "Let It Ride" option where the money is kept in an IRA type account that can be drawn on as needed.

The problem has always been how to fund the transition. The idea of the Lock Box type plan is great, if properly funded on the front end. The difficulty is when you divert money away from SS to pay current benefits to allow young folks to begin growing their own retirement assets, is how to fund SS benefits for existing and near retirement people. Then what to do with mid-career people that will be starting their Lock Box late.

It's hard.

WW

The other problem I see with that are that irresponsible people, who spent every cent they earned and have no impulse control, will opt for the cash-out, run through it in a few years, and then arrive at age 72 or 73 without a cent, and with no SS payment. Then they will cry poverty and get all sorts of welfare - putting even more of a burden on taxpayers.

(I remember when I was about 30 and quit my first job, and I wanted to rollover my 403b (or whatever it was called) to my IRA via a direct transfer. It took HR months to do it, and when I asked what the problem was, they said that in all the years of them working there, they never had a person want to transfer to an IRA. Every single person always took the cash.)

 

[Admiral Rockwell Tory]

Would it help if I said thank you?

BTW.....I pay near $700.00 a month for "congress critter" insurance.

You are on Obamacare?

 

[Lisa558]

You are on Obamacare?

I was - until I reached 65. Worst “insurance” of my life - astronomical premiums, high deductibles, and hard to find specialists who would even accept it.

After paying $800 a month, I then had to pay out-of-pocket for expenses. It really wasn’t an insurance policy at all.

 

[Admiral Rockwell Tory]

Just FYI, I say it's more than half. Just my opinion.

WW
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View attachment 1084961

I appreciate your posting that fact, but your info has an error for certain. Kentucky does not participate in SS. I taught there for 10 years and none of my pay counted towards SS, so I received a reduced benefit. Our GOP governor wanted to mess with the teacher retirement system back in about 2018 and he worked himself out of being reelected simply because without SS, that is all most teachers have. He tried the same way with other government employees, and they all worked very hard and beat him out of office. I retired early to prevent them from screwing me over.

 

[Admiral Rockwell Tory]

I was - until I reached 65. Worst “insurance” of my life - astronomical premiums, high deductibles, and hard to find specialists who would even accept it.

After paying $800 a month, I then had to pay out-of-pocket for expenses. It really wasn’t an insurance policy at all.

You have my condolences. I lost my healthcare paid under COBRA when my wife went on Medicare and I was too young. Fortunately, I became eligible for VA coverage 3 months before I would have had to go on Obamacare. I went on Medicare yesterday.

 

[Admiral Rockwell Tory]

What is more important, wasteful military spending or the well being of American citizens?

Seriously, you asked that question?

Wasteful military spending has to be the top priority!

[/sarcasm]

 

[Admiral Rockwell Tory]

So how do the rest of us get some of this FERS stuff?
The article calls it a Federal Pension system.
Isn't "disability" a state responsibility?
No matter, there is no fucking way that ANY Federal paperwork should be on paper in a fucking mine.

SSDI is not. If you don't pay into SS, you don't get SSDI. I am a case in point for that, as for a time I was approved for disability physically but could not draw it because I did not contribute for 10 years. I went back to work to finally qualify after 5 more years which was the requirement to qualify by being back under SS contributions.

In fact, there was a little oddity because I only worked for 4 additional years, as time passed that window progressed to where I became eligible, and they started paying me SSDI right out of the blue. I got a check for back pay in my checking account out of the blue when they converted me from early retirement to disability. They sent me a letter explaining it about a month later, but not until after I enquired as to why I got that huge deposit from SS.

 

[Admiral Rockwell Tory]

You are mixing the two things.

#1 Ours and Federal earnings histories are maintained by the SSA - there is no difference. There is no "like the rest of us".

#2 The documents stored in the mine are Federal employee retirement applications and documents related to earning their fedreal pension.

Federal Pension != SS Benefis.

Hope this helps.

WW

I don't think that came out like you intended.

 

[Admiral Rockwell Tory]

I will have 40 years in with my company at 62, will have been paying into SS it for 46 years, at 62. They have been taking that money, and give us no interest on itg screw the Government they just want to raise the age so you don't get to use much of it

How many years until you retire? Your age may not be impacted at all.

 

[Admiral Rockwell Tory]

I'll skip to the end for all you younger people, government is going to jack up the social security taxes AGAIN for the 2nd time to cover the money it stole from social security after the 1st tax increase and the mismanagement. You will get to pay double.

Now, who would hire government to mow their lawn? Yeah, nobody.

Another believer in the "stole SS" myth is outed! Why do you flaunt your ignorance of the SS system?

 

[WorldWatcher]

I don't think that came out like you intended.

Nope (discounting the typo) it was correct.

FERS (Federal Employee Retirement System) is not equal to (!=) Social Security Benefits.

WW

 

[Admiral Rockwell Tory]

But its ok if Boomers retire at 65.

#youarefullofshit

My wife and I are both "boomers' and we could not retire fully until age 66 and 67 respectively. My wife took early retirement at age 65 1/2. I took early retirement at 62 but I am now on SDDI so I draw what I would have at 67 anyway.

Your statement is too broad. You do realize most boomers are dead, right?

 

[Admiral Rockwell Tory]

Nope (discounting the typo) it was correct.

FERS (Federal Employee Retirement System) is not equal to (!=) Social Security Benefits.

WW

You explained using coding in an earlier post. Most people are not familiar with that notation. I have never seen it before.

 

[kyzr]

Another believer in the "stole SS" myth is outed! Why do you flaunt your ignorance of the SS system?

Its no "myth".
I remember when Clinton mentioned the "unified budget" and Al gore was promoting the "lock box".

Unified budget - Wikipedia

en.wikipedia.org

Hard Questions Remain for the Social Security Lockbox

The Senate and the House of Representatives are considering enforceable mechanisms to preserve the surplus generated by Social Security so that it could be used in the future to pay for reforms of both Social Security and Medicare. Pending those reforms, Social Security surpluses would be used...

www.heritage.org

"Pending those reforms, Social Security surpluses would be used to reduce the amount of federal debt held by the public."

 

[Admiral Rockwell Tory]

Boomers are already retiring. You're just fucking the follow up generations AGAIN while the wealthy again get off scot free.

For all intents and purposes, almost every "boomer" has already retired. I am within just a few years of the last "boomers", and I retired 2 years ago. Every "boomer" will be retired in about the next 7 years.

 

[Admiral Rockwell Tory]

Its no "myth".
I remember when Clinton mentioned the "unified budget" and Al gore was promoting the "lock box".

Unified budget - Wikipedia

en.wikipedia.org

Hard Questions Remain for the Social Security Lockbox

The Senate and the House of Representatives are considering enforceable mechanisms to preserve the surplus generated by Social Security so that it could be used in the future to pay for reforms of both Social Security and Medicare. Pending those reforms, Social Security surpluses would be used...

www.heritage.org

"Pending those reforms, Social Security surpluses would be used to reduce the amount of federal debt held by the public."

Yes, the idea that it was stolen is a myth. It was always used for this purpose. That law just coded it into law regarding budget accounting.

 

[Admiral Rockwell Tory]

They moved the retirement age up from 65 to 67 before I got there, and I didn’t bitch and scream. I understood it was needed to maintain the program.

And moving it up another year, given modern medicine and how many of today’s young people will live well into their 90s, isn’t such a calamity.

The issue now for some people is that they are no longer capable of working those extra years. My FRA is 67 but I became disabled at age 61. I was not eligible for SS disability and we were forced to sell our home in order to survive on my wife's SS income. I believe I read stats that say that more people are retiring on disability because they are medically qualified at an age lower then 62 or even before their FRA causing them to retire at 62.