Social Security Is A Ponzi Scheme
According to a recent press release Social Security will only be able to pay 77 percent of the benefits due seniors by the year 2034.
By advanced calculus that’s only seventeen years from now. Or to put that into another perspective — if you’re 65 today your benefits will be cut when you reach the ripe old age of 82.
Social Security Is Not Retirement
If you’re depending on Social Security to provide the majority of your retirement income you better rethink that decision.
Social Security benefits are based on your highest 35 years of income. The more you make during your working years the better off you’ll be.
You’d be ahead to take a second job even if you don’t need one.
The average Social Security income is around $1,300 a month or $15,600 per year. Not exactly Lotto winnings.
In addition, the longer you wait to take your monthly distribution the more you will receive. But you have to start taking it at age 72 ½.
Those born in 1946 will be taking the maximum in 2018. Putting more pressure on the funds.
Why Is SS Running Out Of Money?
Social Security is a ponzi scheme. People coming into the work force are paying those who are leaving. The people at the bottom are paying those at the top.
Fifty thousand baby boomers, those born between 1946 and 1964, are retiring every single day and will every day for the next 10 to 15 years.
That’s 300,000 people turning 65 and leaving the work force each month and collecting Social Security.
Automation and other advances require fewer workers than in past years. Couple that with a diminished birth rate and you have Social Security on a path to depletion in just a few years.
Some Final Thoughts
Here’s the part that really galls some seniors. Social Security is a system that all working people are supposed to pay into.
We know there are some immigrants and American citizens who are paid in cash under the table.
But it seems like all the entitlements that we don’t directly pay into are doing just fine. Have you heard of food stamps running out of money? Welfare going broke?
It seems strange that what we pay into directly is losing money yet 126 poverty programs we don’t pay directly into have unlimited funds.