Our Social Security Conundrum

"Or - we can just let the system implode and let our kids and grandkids pick up the pieces. What sense does that make? As much sense as leaving them a 50 trillion dollar debt. I know - it is not 50 trillion - yet. But it will be. No matter who is President. Just saying..."    

If I had a nickel for every time in my adult life I have heard the Social Security fund was going broke, I could retire all over again. So the question begs to be asked - is the Social Security fund going broke? Our world famous Ponzi Scheme? Yes, yes, and yes all over again. Actually, I am surprised it has lasted this long. Why is it going broke? It is simply a game of numbers. Too few workers paying in for too many to receive. Plus, our seniors are living longer. Whereas making it to 65 at one time was like winning the lotto, today 65 seems like "half life" to many seniors.

If I were in charge, and not afraid of the "third rail" of Social Security, what would I do? I would sunset the current system immediately for those under 40. It is not fair to them to pay into a system which might not be there when they retire. I would replace it with a system which was realistic and self funding. One where the participant has the option of controlling his or her investment, and (here is the big one), should the participant die before retirement, that self directed fund could be kept by the heirs, and not turned back into the government.

I know, I know. When the fund was set up, it was not supposed to be counted on. If you lived long enough to collect it, great. If not, it just went back into the giant fund to help the collective. But today, things are different. We have become dependent on Social Security. Most companies are no longer paying pensions. 401K and IRA funds can either be very good or very bad. And money in savings does not pay spit in interest. But Social Security? That has been solid for many seniors. A lifeline in turbulent times.

However - if we really want to help our seniors, stop all COLAs for five years. In exchange for that, take all federal and state tax off seniors who receive Social Security benefits. Is that the best solution? Maybe - or maybe not. But at least it is something. Better than being on the train, going 100mph towards a brick wall.

How about our President? Is he all over this thing? You bet he is. In true "Corn Pop" fashion, Slo Joe is telling all who want to hear, it is THE REPUBLICANS, who are trying to steal your Social Security. Other than that, he has nothing. No game - nothing. 

Or - we can just let the system implode and let our kids and grandkids pick up the pieces. What sense does that make? As much sense as leaving them a 50 trillion dollar debt. I know - it is not 50 trillion - yet. But it will be. No matter who is President. Just saying...