Social Security Private Plan Addition to The Basic Social Security Benefit

This Social Security Private Plan Addition is intended as a tool to boost the savings incentives for those near and/or at the bottom of the income scale. Note ALL CONTRIBUTIONS ARE TAX EXEMPT AND GROW TAX FREE!!!

There is a novel idea here. Starting retirement savings for ALL at birth / issuance of the Social Security card . I have also been thinking of INDEXING the tax break for low ( minimum wage earners up to say 175% of the poverty line) income earners such that POOREST OF THE POOR CAN GET A ENHANCED BREAK.

I BELIEVE THIS IS THE WAY TO GO, YOU SAVE,,, YOU MAKE OUT AT RETIREMENT BIG TIME, IT IS UP TO YOU.

READ THIS IS HOW YOU TRANSFER WEALTH

SOME BASIC REQUIREMENTS FOR A PRIVATE ADDITION TO THE Social Security BENEFIT.

• This plan is in addition to the Social Security FICA.

• There is a higher limit on the annual contributions to the “Social Security private plan” say 20k dollars/year.

• The FICA salary cap shall rise to $140,000.00 .

• The money contributed to the “Social Security private plan” is exempt from state and federal tax.

• The money in the “Social Security private plan” grows tax free

• The money in a “Social Security private plan” can be made available from say 59 to 64 on, as a monthly pay out over 30 years (annuity) or as lump sum.

• THE CONGRESS IS PRECLUDED FROM ANY FORM OF BORROWING FROM THIS ACCOUNT, THE EXECUTIVE BRANCH IS PRECLUDED FROM ISSUING ANY PROCLAMATIONS OR EXECUTIVE ORDERS ATTACHING OR USING THESE FUNDS FOR ANY PURPOSE OTHER THAN THE BENEFITS OF THE OWNERS . FURTHER THERE WILL BE NO COMMINGLING OF THESE FUNDS WITH ANY OTHER AGENCY OR BRANCH OF THE U.S. GOVERNMENT. NO LIEN OR ATTACHMENT OF THE “PRIVATE PLANS” LEGALLY OBTAINED AND DEPOSITED FUNDS BY ANY COURT, JUDICIAL ENTITY, OR ENTITY WILL BE PERMITTED BY THE U.S. GOVERNMENT. THESE FUNDS WILL BE INVESTED AND MANAGED AS A BOND FUND. THE OBJECTIVE WILL BE OPTIMUM LONG TERM YIELD . ALL US GOVERNMENT ISSUED AND GUARANTEED OPENLY TRADED US GOVERNMENT BONDS AND NOTES , OF ALL MATURITIES SHOULD BE USED AS NEEDED. SHORT TERM FEDERAL RESERVE SECURITIES ( LESS THAN 1 WEEK ) SHOULD BE USED AS NEEDED.

• The operation of the “Social Security private plan” should mimic the operations of a bond mutual fund.

• Interest compounding and, pay outs should be made quarterly .

• A $ 3.00 to $5.00 minimum per week contribution to the “Social Security private plan” with a $20,000.00 yearly maximum .

• Extra deposits should be accepted via inter bank money transfers or EFET deposits to the “Social Security private plan” account, also deposits should be accepted at any merchant bank cash or check . Subject to the prevailing money laundering laws on the books .

• All deposits will be tracked by Social Security Administration and reported to the IRS as exempt income ( not taxable ) but reported .

• The total of all deposits made in a calaender year will show up on the W - 2 form .

• The amount to be deposited into the “Social Security private plan” via weekly payroll deduction should be easily changeable, up or down .

• The interest paid is as close to the coupon as clipped value as possible

• Once the agreed upon retirement age is reached the right to start, stop and restart benefit pay outs should be available.

• Each baby born an American Citizen at the issuance of his / her Social Security card will have 10.00 dollars deposited into his / her “Social Security private plan”, as a one time retirement grant.

The Idea here is to reach the first $ 1000.00 in the “Social Security private plan” A.S.A.P. . For a new worker entering the work force and, living at home with his /her parents making extra deposits into this childs “Social Security private plan” as savings, to reach the $1,000.00 goal would make for an comfortable retirement . When this worker moves up the pay scale increasing the weekly deposit and or making extra deposits will further increase the additional income provided by the “Social Security private plan”

The power of large scale buying of bonds can reduce the fixed cost of the operation to the .2% to .1% level.

This “Social Security private plan” has the potential to transform the idea of retirement living. The “Social Security private plan” can double the safety net for GenX and GenY when they retire and their children will fair even better than they did hopfuly. In order for us older folks to take advantage of the “Social Security private plan” we would have to increase the amount of our initial deposits into the “Social Security private plan”. One of the best uses of the “Social Security private plan” for us older folks would be as a cash trap , say after the sale of a house, what should you do with 50k excess profit ? shelter 20k in this “Social Security Private plan”. Also parents can make deposits for their children into their” Social Security Private Plan” as they grow up. I think it is much better if seniors can take care of themselves with their own money rather than depend on the government to supply welfare, WE NEED MORE CUSTOMERS WITH MORE MONEY AT RETIREMENT .

The”Social Security private plan” plan will enhance the savings rate in the United States of America. The number of seniors on welfare will decline . The spending power of seniors will start rising just as the population starts to gentrify. As the baby fizzle of the, late 70’s early 80’s, moves to the workforce center stage, the spending power of the retied will be on the rise. To days pre-tweens will be entering the work force with their greater numbers and, will have spending support to maintain job growth. The pre-tweens will have at least a chance to establish themselves as an economic force. The number of seniors retiring to poverty should begin to approach 0 , because of the doubling of the safety net benefit. The “Social Security private plan” has one goal to produce more customers with more money. This country needs more customers with money.

GROW OR DIE

Testimony Before The House Ways and Means Committee

                                    May 24, 2005, Statement for the Record, Given by Kenneth Basil Jackson Jr.