1/3 is the change in the system under private accounts. Currently 12% of payroll goes to SS. Under private accounts 4% would go to your private account. The other 8% goes to continue paying current retirees. 1/3 is the drop of revenues that the current system will get if people elect to opt out. But they eventually get a 100 percent in drop in cost, so the 1/3 drop is worth it. Would you pay 1/3 current cost to wipe out 100 percent of future liabilities? I would. What you are talking is about the track of ss that it is heading in. I'm referring to the change is systems.
Borrowing from the public is a stretch, I find very little of what the federal govenment does as actually benefiting the public. YOU NEED TO CUT A BUNCH OF $HIT OUT of the budget. Even stuff that people "want" or that "has always been there". Just completely gut most of the agency budgets. There should be nothing left of most of the government programs, and a few of the big ones like welfare, food stamps, HUD, etc. should be small pieces of what they used to be. Because nobody realizes that you lose practically all the programs if you let the situation go where it is going. The fact is that if you add up all the future liabilities(in the business world they would be called liabilities because they are promising to pay), and you discover the federal government is bankrupt. Completely bankrupt. Bankrupt means that you practically lose everything.
"If "a little bit of extra debt" would actually make big progress on dealing with SS, I'd probably be for it."
Do you get what I'm trying to say to you, that the best way to get this cleared up is to have a replacement system on the back end(where future retirees opt out of the current one). If you have a replacement system, some debt during the interim period is fine.
Borrowing from the public is a stretch, I find very little of what the federal govenment does as actually benefiting the public. YOU NEED TO CUT A BUNCH OF $HIT OUT of the budget. Even stuff that people "want" or that "has always been there". Just completely gut most of the agency budgets. There should be nothing left of most of the government programs, and a few of the big ones like welfare, food stamps, HUD, etc. should be small pieces of what they used to be. Because nobody realizes that you lose practically all the programs if you let the situation go where it is going. The fact is that if you add up all the future liabilities(in the business world they would be called liabilities because they are promising to pay), and you discover the federal government is bankrupt. Completely bankrupt. Bankrupt means that you practically lose everything.
"If "a little bit of extra debt" would actually make big progress on dealing with SS, I'd probably be for it."
Do you get what I'm trying to say to you, that the best way to get this cleared up is to have a replacement system on the back end(where future retirees opt out of the current one). If you have a replacement system, some debt during the interim period is fine.