Talk of The Villages Florida - View Single Post - Increase in Social Security offset by a larger increase in Medicare premiums
Thread: Increase in Social Security offset by a larger increase in Medicare premiums
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Old 11-29-2021, 01:59 PM
DAVES DAVES is offline
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Originally Posted by manaboutown View Post
Although I did not read that article I'll wager it ignores the time value of money.

Understanding the Time Value of Money
Few people understand math. Our CPI consumer price index has hit 6.2%. You pay that with after tax dollars. I need to make over 9% just to be even.

If you invest 10,000 and make 10% the first year, you have 11,000 if you lose 10% the next year-YOU ARE NOT EVEN. 11000-10%=9900. All the stuff I/WE read never mentions this.

Reality is soooooo simple. No one would pay me to write simple reality.

Inflation, you need roughly 6 dollars to buy what one dollar bought in 1974 except for electronic stuff and that is due to dropping cost and more powerful computer chips.