When people buy a product they pay knowing they will receive a good or service in return. When people pay taxes, they pay, knowing it 's the law, and receive some type of service in return. This is not the case with Social Security. Countless young people see this tax as something they are paying for but will never obtain anything in return. There has to be a better alternative; there is, privatizing Social Security.
Social Security is a program in which the government provides money to people who are unable to work because they are old, disabled, or unemployed. Social secretary is paid based by taxes the current workforce to pay current benefits. Benefits are regulated by members of the government and also include retirement and disability …show more content…
“If workers invested 12.4 percent of their earnings in a private retirement account yielding a moderate rate of return (say, 3 percent a year after adjusting for inflation), most would collect larger pensions than they can expect under the present Social Security system. Which in 2010, more than 57 million Americans will not automatically receive a Cost-of-Living Adjustment, but the Consumer Price Index (inflation) rose 3%, which shows that Social Security is not doing smart financial business practices with the consumer’s money to not allow a raise for …show more content…
In 1940, there were 159.4 workers for each beneficiary, but the ratio fell to 5.1 workers to each beneficiary by 1960, and by 2013 there were only 2.8 workers to each beneficiary. As you can see the rapid decline of workers is occurring this is occurring because, starting in 2010 the post-World War II baby boomers era will reach the retirement age of 65, and from 2010 to 2040 over 40 million workers will expect money from the program. This creates a problem because the assets in the Social Security trust funds are expected to be exhausted in 2033, according to the Social Security Board of Trustees ' annual report. After that, incoming tax revenue will provide enough income to pay out about three-quarters of promised benefits. Younger people paying the same portion of their paycheck want the same benefits when they retire as the older
Social Security is a program in which the government provides money to people who are unable to work because they are old, disabled, or unemployed. Social secretary is paid based by taxes the current workforce to pay current benefits. Benefits are regulated by members of the government and also include retirement and disability …show more content…
“If workers invested 12.4 percent of their earnings in a private retirement account yielding a moderate rate of return (say, 3 percent a year after adjusting for inflation), most would collect larger pensions than they can expect under the present Social Security system. Which in 2010, more than 57 million Americans will not automatically receive a Cost-of-Living Adjustment, but the Consumer Price Index (inflation) rose 3%, which shows that Social Security is not doing smart financial business practices with the consumer’s money to not allow a raise for …show more content…
In 1940, there were 159.4 workers for each beneficiary, but the ratio fell to 5.1 workers to each beneficiary by 1960, and by 2013 there were only 2.8 workers to each beneficiary. As you can see the rapid decline of workers is occurring this is occurring because, starting in 2010 the post-World War II baby boomers era will reach the retirement age of 65, and from 2010 to 2040 over 40 million workers will expect money from the program. This creates a problem because the assets in the Social Security trust funds are expected to be exhausted in 2033, according to the Social Security Board of Trustees ' annual report. After that, incoming tax revenue will provide enough income to pay out about three-quarters of promised benefits. Younger people paying the same portion of their paycheck want the same benefits when they retire as the older