A demand for honesty over Social Security's big lie
Friday, June 15, 2018
Chris Woodward (OneNewsNow.com)
It's one of the oldest arguments against reforming Social Security program – don't touch my money! - but an expert on the issue says that's a deceptive belief.
U.S. births recently hit a historic 30-year low and some say those numbers suggest Social Security, already facing an uncertian future, is in bigger trouble.
"No doubt people have paid very high taxes for their entire lives in order to be able to earn those benefits," says Romina Boccia of The Heritage Foundation, "but the problem is they have been lied to."
That's because the money people are paying in, she points out, isn't being saved and put aside on their behalf in some sort of trust fund.
"All the money they paid in taxes was immediately sent out the door to other beneficiaries," she warns, "and now that their benefits are coming due, those benefits are paid by the younger generation, by their children and grandchildren."
In fact, fewer than three workers are shouldering the burden of every retiree. So every family that has fewer than three children is relying on the children of another family to provide them with those retirement benefits.
"This is one of the big problems with Social Security," adds Andrew Biggs of the American Enterprise Institute. "It was set up to look like a program where you were paying in, you were building an account, and then you draw that money down in retirement. So people feel like a real ownership in the program."
If you ask Biggs, who worked for the Social Security Administration before joining AEI, Social Security has never really been a funded program.
"It's always been funded on kind of a pay-as-you-go basis," he explains, "where the taxes paid by yesterday's workers paid for benefits for yesterday's retirees."
That deal, he says, has to change for protect future generations.
Consider Supporting Us?
The staff at Onenewsnow.com strives daily to bring you news from a biblical perspective. If you benefit from this platform and want others to know about it please consider a generous gift today.
We moderate all reader comments, usually within 24 hours of posting (longer on weekends). Please limit your comment to 300 words or less and ensure it addresses the article - NOT another reader's comments. Comments that contain a link (URL), an inordinate number of words in ALL CAPS, rude remarks directed at other readers, or profanity/vulgarity will not be approved. More details
Voters summonsed socialism back into American politics Tuesday at New York’s Democratic primary by handing Democratic Socialists of America (DSA) member Alexandria Ocasio-Cortez a win in the race for the state’s 14th Congressional District.
One News Now Poll
Kavanaugh's accuser makes more demands for testimony agreement
WASHINGTON (September 21, 2018) — Christine Blasey Ford is making more demands before she will agree to testify about her claim that she was sexually assaulted by Supreme Court nominee Brett Kavanaugh more than 35 years ago.