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Social Security Disability Going Broke - FAST ! !
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Social Security
Social Security Disability Going Broke - FAST ! !
<font face="arial, helvetica, sans-serif" size="1"><div>You worked hard for it. Now talk to others on how to save Social Security.</div></font>
The FIscal Times 07/27/2012 : Disability Benefit Program Is Going Broke Target date of running out of money 2016. WE HAVE A PROBLEM ! ! ! Some highlights from the link above - "More Americans q
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Cat:7a9899c6-bb01-48a5-bd56-e73d9d7e3998Forum:17f83b76-a805-4002-b497-6dbb421b0b8a
Cat:7a9899c6-bb01-48a5-bd56-e73d9d7e3998Forum:17f83b76-a805-4002-b497-6dbb421b0b8aDiscussion:b4130271-d00c-4779-96f2-063c23beb0f6
Forums » Work & Retirement » Social Security » Social Security Disability Going Broke - FAST ! !
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Re: Social Security Disability Going Broke - FAST ! !
posted at November 19, 2012 11:48 PM EST
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Posts: 585
First: May 28, 2012 Last: May 15, 2013 |
Social Security was designed this way because those who earn more have more to save and if they are respnsible enough they will save enough to offset their lower Social Security benefit. What is your definition of older ??? Asking workers over 55 to now accept reductions in Social Security, when they have paid into it for 40 years and planned to have a certain amount to survive with dignity in their golden years, is not fair or acceptable. You are only 41, imagine working 20 more years paying into Social Security and having someone ask you to take a reduction at 61 yrs of age. You would see things much differently, if the game plan changed for you after your strong earning years were behind you. Response to Re: Social Security Disability Going Broke - FAST ! !: In Response to Re: Social Security Disability Going Broke - FAST ! ! : Actually, Social Security is designed to replace a significantly higher percantage of pre-retirement income for lower earners than for those who earned more. Some rough numbers: if you earned the average income in today's dollars (around $45k), then social security replaces around 35-50% of your income during your working years. Averaged less income than this? Then it replaces a higher %. Earned more? Then it replaces a much lower amount of your pre-retirement income. Look, the sad truth is, there really isn't enough $ to go around. I am 41 and will for sure not see a return anywhere near 100% of what I paid in. Simply because the boomer demographic and significant increases in longevity over the last decade are throwing the actuarial calculations off by a wide margin. This is no one's fault, per se, but it means we have to deal with it. That said, I would be willing to forego any future benefits, in exchange for paying a reduced amount of FICA taxes while I am still working, while those older than me accept a reduction in benefits to off-set the fact that I and my co-horts get nothing. We could do a phased approach, the oldest see little or no reduction, with each younger group taking a bigger and bigger reduction. That seems pretty fair, doesn't it? You still get a pension, albeit reduced, I keep paying and get nothing in return but a system that is finally put back into balance. And my kids and your grandkids get a world that actually works again. It will require all of us to make a sacrifice however.
Posted by thellama |
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Re: Social Security Disability Going Broke - FAST ! !
posted at November 22, 2012 9:12 AM EST
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Posts: 5
First: November 19, 2012 Last: November 24, 2012 |
In Response to Re: Social Security Disability Going Broke - FAST ! !: Social Security was designed this way because those who earn more have more to save and if they are respnsible enough they will save enough to offset their lower Social Security benefit. What is your definition of older ??? Asking workers over 55 to now accept reductions in Social Security, when they have paid into it for 40 years and planned to have a certain amount to survive with dignity in their golden years, is not fair or acceptable. You are only 41, imagine working 20 more years paying into Social Security and having someone ask you to take a reduction at 61 yrs of age. You would see things much differently, if the game plan changed for you after your strong earning years were behind you. Response to Re: Social Security Disability Going Broke - FAST ! ! : Posted by mandm84 I actually offered in my previous post to continue to PAY into the system the rest of my working years and take NOTHING IN RETURN. How is that not fair to you? I don't see how it is unfair to ask people to make sacrifices when others are willing to do the same; this is the basis of compromise. You are right that I see things differently, because reality says we have to. The reality is: Social Security never promised to be sufficient to cover your retirement all by itself, you are living longer than the original payment promises were based on, there are more people in the current generation of retirees than ever before and ever after who require a smaller group of people to pay for those benefits. Another reality is that we are asking people to make some sacrifices that are ill-prepared and may feel like this is a last minute change, I understand that. That is why we would likely need to tier the reductions; if you are older there are few/no reductions, if you are say 50, expect some bigger reductions as you still have some time to prepare. If you are 41, like me, expect to get nothing even though I will continue to pay thousands and thousands of dollars over my working years - trust me, I do not like this proposition, but understand reality. This problem requires that we be pro-active. It requires we have vision and act on that vision. If we leave things status-quo, then reality may end up forcing changes and those changes will then be outside of your control, not of your choosing, and even more detrimental to your situation. |
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Re: Social Security Disability Going Broke - FAST ! !
posted at November 24, 2012 9:38 AM EST
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Posts: 5
First: November 19, 2012 Last: November 24, 2012 |
By the way, you haven't paid as much into SS as you think. My father who is 66 has earned $175k or more per year since 1993. Since 2002 he has earned about $250k on average. I looked at his statement the other day, he has only paid about $100k in cumulative SS taxes during his lifetime. Is states that number for each person right on your yearly statement. Yet he has a benefit of $2300/mo at FRA. I figure it would take a little over 3 years to get back everything he ever paid into SS. In Response to Re: Social Security Disability Going Broke - FAST ! !: Social Security was designed this way because those who earn more have more to save and if they are respnsible enough they will save enough to offset their lower Social Security benefit. What is your definition of older ??? Asking workers over 55 to now accept reductions in Social Security, when they have paid into it for 40 years and planned to have a certain amount to survive with dignity in their golden years, is not fair or acceptable. You are only 41, imagine working 20 more years paying into Social Security and having someone ask you to take a reduction at 61 yrs of age. You would see things much differently, if the game plan changed for you after your strong earning years were behind you. Response to Re: Social Security Disability Going Broke - FAST ! ! : Posted by mandm84 |
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Re: Social Security Disability Going Broke - FAST ! !
posted at November 25, 2012 10:23 PM EST
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Posts: 585
First: May 28, 2012 Last: May 15, 2013 |
Keep your conversation limited to other top 2% earners and they might agree with you. Obviously when you earn that kind of money you dont need Social Security. Get back down to earth with the rest of Americans, who average $50,000 per year in earnings and dont have an extra $100,000 lying around every year to invest in our 401 k's or other investments. Good for you and your father, but thats not the real world to 98% of our Nation, who must rely on Social Security to survive with dignity.Response to Re: Social Security Disability Going Broke - FAST ! !: By the way, you haven't paid as much into SS as you think. My father who is 66 has earned $175k or more per year since 1993. Since 2002 he has earned about $250k on average. I looked at his statement the other day, he has only paid about $100k in cumulative SS taxes during his lifetime. Is states that number for each person right on your yearly statement. Yet he has a benefit of $2300/mo at FRA. I figure it would take a little over 3 years to get back everything he ever paid into SS. In Response to Re: Social Security Disability Going Broke - FAST ! ! :
Posted by thellama |
Forums » Work & Retirement » Social Security » Social Security Disability Going Broke - FAST ! !
