Quote:
Originally Posted by aegsm76
jf - the Federal government will never have a fund that just banks the money for future use. They will always find a crisis to use it on and pass the problem down to the next guy.
That is basically my entire issue with Social Security.
Some people believe that there is some account out there with all of the money that they have paid in, sitting in.
If they did some research they would realize that Social Security is actually a pyramid scheme, sponsored by your Federal Government.
See the below link for more details:
http://www.msnbc.msn.com/id/41293592...more_politics/
Here is a quote from the article:
Social Security's $2.5 trillion surplus
Social Security has built up a $2.5 trillion surplus since the retirement program was last overhauled in the 1980s. Benefits will be safe until that money runs out. That is projected to happen in 2037 — unless Congress acts in the meantime. At that point, Social Security would collect enough in payroll taxes to pay out about 78 percent of benefits, according to the Social Security Administration.
The $2.5 trillion surplus, however, has been borrowed over the years by the federal government and spent on other programs. In return, the Treasury Department has issued bonds to Social Security, guaranteeing repayment with interest. |
The government has all kinds of funds that bank money for future use... actually what happens is a large lump sum sits in an account and draws intereset... the interest is then allowed to be spent.
By the way Social Security originated with no one paying money into it. So of course there isn't a big account with money sitting in it... the money gets used as soon as it gets put in to pay for the older generation.
By the way... I don't think SS classifies as Pyramid Scheme. In fact, i can't see any relation to it other than your attempts to fear-monger.
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