[rrb48310]

Originally Posted by maggie1

Smart lady - you taught her well.

Great job guiding your daughter. I gave same advice to my sons, put into your 401K up to what ever the company will match. But then advised them to do what I wished I would’ve done, put more into a Roth IRA money grows and withdrawn tax free. Roth 401K just we’re starting when I retired, if employers match like a “traditional” 401K all the better.

[rrb48310]

Originally Posted by MartinSE

A couple points on this thread:

SS will not suddenly run out of money. The plan is to ramp down payments as they have to dip into the trust, which is expected to start in 10 or 20 years. It is a "simple" problem to fix, but politicians don't want to fix it because it is a voting issue they can rant about. Fixing would simply require an increase in the amount of income your contribution comes from, increase the maximum contribution of each worker, or increase the percentage deducted. All have been proposed, all of any would postpone the problem indefinitely.

Second, inflation happens. It always has it aways will. It is normally blamed on the administration with it starts up - that doesn't mean they caused it. Inflation historically lags policy. In this cycle it has been predicted for years, meaning it is way over due. Some (me included) believe it is the way the inflation cycle was delayed that resulted in it being worse than "normal". I don't have a doctorate in economics, so I can't say. We just are still dealing with COVID and it's impact on society and economy. Anyway, I do believe that as long as our (the world's) economy is based on growth, there will be recessions and inflation cycles. We need a new economic model that is based on no growth.

There is a larger “population” than Baby Boomers, so if they ever get off the couch and get one of the plentiful jobs, S.S. should be ok. Providing the politicians keep their hands off the $$$.

[Stu from NYC]

Originally Posted by rrb48310

There is a larger “population” than Baby Boomers, so if they ever get off the couch and get one of the plentiful jobs, S.S. should be ok. Providing the politicians keep their hands off the $$$.

Sorry but the SS trust funds need more help than this.

Another alternative nobody talks about is raising the retirement age so people work longer and contribute more into SS.

[MartinSE]

Originally Posted by rrb48310

There is a larger “population” than Baby Boomers, so if they ever get off the couch and get one of the plentiful jobs, S.S. should be ok. Providing the politicians keep their hands off the $$$.

Baby Boomers, that would be me, I have no plans to get off my butt and get a job. Baby Boomers are pretty much the problem right now, there are so many of us retired - many that retired early because of 2008.

SS withholding has not been increased, even to adjust for inflation, since 1990. Well, not exactly, there were some changes put in place in 2021, and some more are supposed to go into place this year. But minor.

[rrb48310]

Originally Posted by MartinSE

Baby Boomers, that would be me, I have no plans to get off my butt and get a job. Baby Boomers are pretty much the problem right now, there are so many of us retired - many that retired early because of 2008.

SS withholding has not been increased, even to adjust for inflation, since 1990. Well, not exactly, there were some changes put in place in 2021, and some more are supposed to go into place this year. But minor.

I didn’t mean us baby boomers get a job, I was talking about the upcoming larger boom.

I’m a baby boomer too and retired I’m getting off butt but it’s not to work it’s to enjoy The Villages.

[JMintzer]

Originally Posted by MartinSE

Baby Boomers, that would be me, I have no plans to get off my butt and get a job. Baby Boomers are pretty much the problem right now, there are so many of us retired - many that retired early because of 2008.

SS withholding has not been increased, even to adjust for inflation, since 1990. Well, not exactly, there were some changes put in place in 2021, and some more are supposed to go into place this year. But minor.

And just a few years ago, people were blaming the Boomers for working too long and taking jobs from people entering the job market...

Just can't make some people happy...

[biker1]

No, that won't do it. This has been studied. The long term trend of a decreasing number of working people per retired person and people living longer has created a situation where SS taxes must increase or benefits must be reduced or the age where you can draw benefits must be pushed out, or all of the three. And, politicians have their hands on the money only to the extent that they can pass laws to change the SS tax rate and change the benefits. The politicians are the only ones who can fix this issue. Without politicians taking action, SS benefits are estimated to be reduced starting in 2033. 2033 is the estimate of when the trust fund will be exhausted and incoming SS taxes will only pay about 80% of benefits.

Originally Posted by rrb48310

There is a larger “population” than Baby Boomers, so if they ever get off the couch and get one of the plentiful jobs, S.S. should be ok. Providing the politicians keep their hands off the $$$.

[Stu from NYC]

Originally Posted by biker1

No, that won't do it. This has been studied. The long term trend of a decreasing number of working people per retired person and people living longer has created a situation where SS taxes must increase or benefits must be reduced or the age where you can draw benefits must be pushed out, or all of the three. And, politicians have their hands on the money only to the extent that they can pass laws to change the SS tax rate and change the benefits. The politicians are the only ones who can fix this issue. Without politicians taking action, SS benefits are estimated to be reduced starting in 2033. 2033 is the estimate of when the trust fund will be exhausted and incoming SS taxes will only pay about 80% of benefits.

I have read 74% of benefits will be paid. Amazing how congress is not getting any pressure to fix this problem. The people who are totally dependent upon SS for retirement should wake up.

[biker1]

I have seen a variety of numbers including 76%. I just rounded up to 80%. Yes, it is amazing how this has continued with the issue now only 11 years away. Our "leaders" are cowards for not doing their job and making the choices that only get harder as time goes by.

Originally Posted by Stu from NYC

I have read 74% of benefits will be paid. Amazing how congress is not getting any pressure to fix this problem. The people who are totally dependent upon SS for retirement should wake up.

[Michael G.]

I'm can't say who is entitled to SS obvious the ones who paid into the program for years.
But makes me wonder about the executive jobs people held, or people that were CEO's of their own Company are collecting on SS.

Is it fair to ask, how much do those people need to live on even with inflation?

I guess it's like asking how much house, (4-5000 sq ft.) do two retired people need to live in TV.

[Stu from NYC]

Originally Posted by Michael G.

I'm can't say who is entitled to SS obvious the ones who paid into the program for years.
But makes me wonder about the executive jobs people held, or people that were CEO's of their own Company are collecting on SS.

Is it fair to ask, how much do those people need to live on even with inflation?

I guess it's like asking how much house, (4-5000 sq ft.) do two retired people need to live in TV.

It was set up as a pension system not a wealth transfer system. If you pay into the system you should be able to collect.

[Nucky]

Originally Posted by Luggage

That's an uneducated statement.

Hey there Mr. or Mrs. Luggage. What is an uneducated statement? Quote the post you are going to criticize just the way I did with yours. I could guess which post you are talking about but come on get it together.

[rustyp]

The sky is not falling. First SS is not broke in 2034. It will be short of meeting "TOTAL OBLIGATIONS " at the 2034 point if the system is not changed before (like now would be prudent). There are many avenues that can be taken to shore it back up. Most of which would have no impact to those of us already collecting SS.

“There are changes that can be made to put the program on solid footing,” Thoma said. “In order for the program to remain fully funded through the 75-year projection period (they run it for 75 years — through 2095), payroll taxes would need to rise about 3.36%, or just under 1.7% for both the employer and employee, to fully fund the program. If no changes are made, benefits would need to be cut by 24% starting in 2034 (they would be able to pay 76 cents for every dollar of benefits).”



Retire Comfortably

And that’s only if the government does nothing to fix Social Security. Other changes that could be made would be to raise the full retirement age, revise the reduction formulas and eliminate the ceiling on taxable earnings.

FYI we are really off on a tangent on the subject of this thread. It was do we think we will get a raise 2023 in SS. Now we are talking about getting $0 total payout.

[MDLNB]

Originally Posted by Michael G.

I'm can't say who is entitled to SS obvious the ones who paid into the program for years.
But makes me wonder about the executive jobs people held, or people that were CEO's of their own Company are collecting on SS.

Is it fair to ask, how much do those people need to live on even with inflation?

I guess it's like asking how much house, (4-5000 sq ft.) do two retired people need to live in TV.

So, the folks that pay the majority of the TAX REVENUES in America, while 50% pay NO Fed Tax, should just be exempted from getting their retirement money back from the gov? Is someone going to put a limit on how much wealth a person is allowed? Since we live in TV should we also be exempt from receiving SS? Maybe we should give our SS to the border jumpers?

Should the developers be mandated to ONLY build one bedroom homes, since a couple only NEEDS that much room?

Maybe everyone that is retired should give up their cars and just use golf carts since we don't NEED a car to go to work anymore?
In a FREE America, we enjoy the fruits of our labor, whether the labor is physical or mental. Our sharing is voluntary, NOT mandatory.....at least that is the way it is supposed to be.

[jimbomaybe]

Originally Posted by MDLNB

So, the folks that pay the majority of the TAX REVENUES in America, while 50% pay NO Fed Tax, should just be exempted from getting their retirement money back from the gov? Is someone going to put a limit on how much wealth a person is allowed? Since we live in TV should we also be exempt from receiving SS? Maybe we should give our SS to the border jumpers?

Should the developers be mandated to ONLY build one bedroom homes, since a couple only NEEDS that much room?

Maybe everyone that is retired should give up their cars and just use golf carts since we don't NEED a car to go to work anymore?
In a FREE America, we enjoy the fruits of our labor, whether the labor is physical or mental. Our sharing is voluntary, NOT mandatory.....at least that is the way it is supposed to be.

SS is not financially sustainable as is, the politicians need to tune it up, some sort of non fix that kicks the can down the road making it someone else's problem and makes them look like a prince, cash and other benefits received by individuals is worth more than they paid in, the way its set up the lower your income the less you put in ,from a money in money out standpoint the lower wage earners make out better, the big reason to qualify for SS is the medical benefits otherwise anyone who could would opt out