Social Security factoids for the younger crowd

[LIBrty4all 3,749]

I keep hearing dems claim that 'pubs want to take SS away from us.  But is that reality?

 

Quote

Just in case some of you young whippersnappers (& some older ones) didn’t know this. It’s easy to check out, if you don’t believe it. Be sure and show it to your family and friends. They need a little history lesson on what’s what and it doesn’t matter whether you are Democrat or Republican. Facts are Facts.

 

https://www.bookwormroom.com/2010/08/03/a-history-lesson-about-your-social-security-card-and-benefits

[Dashinka 24,494]

It is also interesting to me that a Bernie Madoff, or others that may try a Ponzi scheme will be prosecuted to the fullest extent of the law, but the Federal government can run its own Ponzi scheme without retribution.  I know I am closer to collecting than most here, but  I still have my doubts I will ever see a dime.

[TBoneTX 45,288]

6 hours ago, Dashinka said:

I still have my doubts I will ever see a dime

Or, perhaps more likely in the near term, it'll be taxed from you.

[seekingthetruth 1,246]

On 11/25/2022 at 12:34 PM, LIBrty4all said:

I keep hearing dems claim that 'pubs want to take SS away from us.  But is that reality?

 

 

https://www.bookwormroom.com/2010/08/03/a-history-lesson-about-your-social-security-card-and-benefits

A lot of that is not true or twisted a bit.

 

https://www.ssa.gov/history/InternetMyths.html

[LIBrty4all 3,749]

 

17 hours ago, TBoneTX said:

Or, perhaps more likely in the near term, it'll be taxed from you.

It already is.  You have to pay taxes on the money made from paying taxes.  Just depends on how much you earn.  Also, if you earn too much, your SSB is reduced monthly.

[LIBrty4all 3,749]

5 hours ago, seekingthetruth said:

A lot of that is not true or twisted a bit.

 

https://www.ssa.gov/history/InternetMyths.html

I did not take the time to vet the text, my bad.  But let's look at some of it.

As to Myth 1 from your link, it WAS voluntary, at least at first.

Quote

To become eligible, workers completed an application at their local post office and received a national identity card with a unique, nine-digit identification number. Within eight days of rolling out the program, over one million workers had Social Security numbers.

 

Myth 2 appears to in fact be completely wrong.  (The original wording though!)
 

Quote

SEC. 811. When used in this title- (a) The term wages means all remuneration for employment, including the cash value of all remuneration paid in any medium other than cash; except that such term shall not include that part of the remuneration which, after remuneration equal to $3,000 has been paid to an individual by an employer with respect to employment during any calendar year, is paid to such individual by such employer with respect to employment during such calendar year.

 

Myth 3 - yeah, bunk.

Myth 4 - Kinda sorta.  While the SS fund is a stand-alone fund, the government DOES "borrow" money from it, with the promise of paying it back with interest.  However, the SS fund for years has suffered from a declining balance, hence Dashinka's fear that he will never see his just returns (somewhere around 3034 or so, the SS fund is expected to be near zero).

 

Myth 5 - Pretty much NOT a myth.  SS wasn't taxed until 1983.  At that time, the fund was in danger of running out of money, so a law was passed to start taxing payouts as well as adding member of Congress to the SS plan in an effort to put more working people in the position of paying into FICA.

Will SSB remain for those of us in the earlier years of our lives?  Not at the current rate it's being paid out at.  Something must be changed to keep the plan in place.  Depopulation of the elderly certainly helps the fund as much as it helps the earth.

[LIBrty4all 3,749]

5 hours ago, seekingthetruth said:

A lot of that is not true or twisted a bit.

 

https://www.ssa.gov/history/InternetMyths.html

And I forgot to add... thank you for debunking the myths!

[Dashinka 24,494]

15 minutes ago, LIBrty4all said:

Myth 4 - Kinda sorta.  While the SS fund is a stand-alone fund, the government DOES "borrow" money from it, with the promise of paying it back with interest.  However, the SS fund for years has suffered from a declining balance, hence Dashinka's fear that he will never see his just returns (somewhere around 3034 or so, the SS fund is expected to be near zero).

 

 

Which is always the case with any pyramid scheme.

[LIBrty4all 3,749]

1 minute ago, Dashinka said:

Which is always the case with any pyramid scheme.

Exactly.

I'm planning on not needing to use mine until I have to take it at 70.  IFF there's any left after you drain the fund even further.

[Dashinka 24,494]

1 hour ago, LIBrty4all said:

Exactly.

I'm planning on not needing to use mine until I have to take it at 70.  IFF there's any left after you drain the fund even further.

That is definitely the best plan.

[TBoneTX 45,288]

58 minutes ago, Dashinka said:

That is definitely the best plan.

What, draining the fund before LIB gets any of it?   

[Dashinka 24,494]

22 minutes ago, TBoneTX said:

What, draining the fund before LIB gets any of it?   

No, planning on not getting anything.  I know that is my plan as well.

[TBoneTX 45,288]

1 hour ago, Dashinka said:

No, planning on not getting anything.  I know that is my plan as well.

That's the spirit!   

In past years, I was pessimistic, too.

Seriously, though:  if you're close, the funds shouldn't run out before you get at least some.