Social Security

In his State of the Union Speech, our president saidIf it is privatized, at least 10 percent of everyone's
entitlements, including social security, disability andcheck will go toward 'administration fees' of the
Medicare need to be fixed because the fund iscompany receiving the money to invest. Then deduct
depleted.the broker's fee also.
According to the May 2007 report of the UnitedPeople receiving Social Security do not need a 'middle
States Treasury Office of Economic Policy, Socialman' to handle their money and charge a fee for doing
Security and Disability funds available at the end ofso.
2006 were Seven Hundred Forty-Five Billion Dollars.Payments into the Social Security, or the Entitlement
This is far from being depleted as the presidentFund, are not to be co-mingled with taxes collected.
warned of. All the dire predictions we hear areThese payments are put into a special 'fund'.
because of Hospitalization costs are risingTherefore, the government should not be able to use
exponentially. It is not Social Security or Disability that isthis money for anything else. A few years ago, the
in trouble, as the president alluded to, but medical costs.government started taking money out of the
All numbers quoted are directly from governmentEntitlement Fund and giving IOU's.
reports, see below.Over the next ten years Social Security and Disability
One hundred sixty-two million people contributed to thefund assets are expected to double - after 2017 the
entitlement fund in 2006, not one hundred twelve milliontreasury will start to pay back what the government
as the president said. Perhaps he erroneously'borrowed' from the entitlement fund - this should keep
deducted the 50 million that are receiving benefits.the fund solvent for about twenty-three years or
Thirty-four million are retirees who paid into the fund,through the year 2041. My calculator does not have
seven million are minor dependents of people that died,enough places on it to figure out what 23 times 745
nine million are people on disability who had alsobillion dollars come to, but apparently that is how much
contributed to the fund.the government raided the entitlement fund for. A
Our president said that Social Security should bequick guess would be almost 20 trillion dollars.
privatized. This means every recipient entitled toThe warning of the entitlement fund being depleted,
receiving Social Security, or Social Security Disability,and the suggestion of privatizing reminds me of a
will have to give part of their payment to a broker topublic service commercial on television. It reminds me
invest for them. This is a win win situation for Wallof - 'we are the good telemarketers and senior
street and the stock market, but a Lose Lose situationcitizens have had their identity long enough'. Now
for Social Security recipients as the majority of themreplace 'identity' with social security checks.
live from social security check to social security check.