Social Security to start cashing Uncle Sam's IOUs

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In the past like starting in the 1950s it would take 16 workers to put money into the social security system to help pay for one person's retirement, keeping cost low for each worker to contribute. Today it takes about 3 workers and when kids retire the ratio will drop down to two workers to help support a retiree. In other words, we will see an increase burden on workers to pay for retirees' benefits as more and more people retire with a less working population. In short, a Ponzi scheme.
 
Jiro said:
problem is..... when it's time to cash in... there's nada for me and my generation :(
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Agreed. But as souggy pointed out, that is not so much a problem with the system as it is a misuse of funding to pay costs for other programs that are not associated with SSA.
 
kokonut said:
In the past like starting in the 1950s it would take 16 workers to put money into the social security system to help pay for one person's retirement, keeping cost low for each worker to contribute. Today it takes about 3 workers and when kids retire the ratio will drop down to two workers to help support a retiree. In other words, we will see an increase burden on workers to pay for retirees' benefits as more and more people retire with a less working population. In short, a Ponzi scheme.
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Yup, exactly, that what I'm trying to explains.
 
kokonut said:
In the past like starting in the 1950s it would take 16 workers to put money into the social security system to help pay for one person's retirement, keeping cost low for each worker to contribute. Today it takes about 3 workers and when kids retire the ratio will drop down to two workers to help support a retiree. In other words, we will see an increase burden on workers to pay for retirees' benefits as more and more people retire with a less working population. In short, a Ponzi scheme.
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And those retired workers who are now receiving benefits paid into the system, as well. It is a generative system. Not a Ponzi scheme at all. Unless everyone simply stops working and paying into the SSA system, it will never completely run out of money (e.g. show a zero sum balance). The generativity built into the system prevents it.
 
Why pay taxes? Just print money.
 
jillio said:
And those retired workers who are now receiving benefits paid into the system, as well. It is a generative system. Not a Ponzi scheme at all.
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Yup, I don't say about Ponzi scheme because I have no idea about what is this word say until someone confirmed it.
 
jillio said:
Agreed. But as souggy pointed out, that is not so much a problem with the system as it is a misuse of funding to pay costs for other programs that are not associated with SSA.
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that's why - increasing tax does not make sense. neither do bailouts.
 
Foxrac said:
Yup, I don't say about Ponzi scheme because I have no idea about what is this word say until someone confirmed it.
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It is another word that some have coined and it gets used a lot without even having a concept of what criteria must be met to be a Ponzi scheme. They use the word just because they know it means something bad. Just like misuse of the words socialism and Marxism.:roll:
 
Jiro said:
that's why - increasing tax does not make sense. neither do bailouts.
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That isn't where the solution lies. It lies in correcting the misuse of funds to support unrelated programs, and in forcing those programs that have been funded by SS money to contribute back to the system.
 
Jiro said:
that's why - increasing tax does not make sense. neither do bailouts.
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Bailouts... Attempt to try and restart a heart... problem is... you can only use the paddles so many times. :lol:

Increasing taxes-- short-term fixes, until someone gets greedy.
 
jillio said:
That isn't where the solution lies. It lies in correcting the misuse of funds to support unrelated programs, and in forcing those programs that have been funded by SS money to contribute back to the system.
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Eisenhower warned against this, didn't he, in his Farewell Speech? About the Military/Industrial complex?
 
souggy said:
Bailouts... Attempt to try and restart a heart... problem is... you can only use the paddles so many times. :lol:

Increasing taxes-- short-term fixes, until someone gets greedy.
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The plain fact of the matter is, there is no short term solution for a long term problem. Best you get is a bandaid that eventually gets bled through.
 
jillio said:
The plain fact of the matter is, there is no short term solution for a long term problem. Best you get is a bandaid that eventually gets bled through.
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Too bad it got infected.

Looks like it's time to amputate the foot.

Hope it doesn't travel up to the knee.
 
souggy said:
Too bad it got infected.

Looks like it's time to amputate the foot.

Hope it doesn't travel up to the knee.
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See there....the quick fix only made the problem worse!
 
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