social security

[OLS]

Originally Posted by Subvet642

I don't think SS will be there for me, so I quite honestly plan to work until I die; just like countless generations of my ancestors did.

This was my plan, too, that and dying of cancer. However there are no jobs for us now, like there were then.
You and I both think, 'eh, at worst, I can greet at the Mart.' or 'I am sure I will be able to work, because
unlike THIS generation, I still understand the meaning of work'. But that is when there were textile mills
and car factories and electronics manufacturers and more industries than I can count. NOW, there are
way fewer jobs, and old folks are getting pushed out as being too expensive to employ and remain competitive.
Working longer might be a dream. So save your money. I plan on designing avatars for spare change.

[Subvet642]

Originally Posted by OLS

This was my plan, too, that and dying of cancer. However there are no jobs for us now, like there were then.
You and I both think, 'eh, at worst, I can greet at the Mart.' or 'I am sure I will be able to work, because
unlike THIS generation, I still understand the meaning of work'. But that is when there were textile mills
and car factories and electronics manufacturers and more industries than I can count. NOW, there are
way fewer jobs, and old folks are getting pushed out as being too expensive to employ and remain competitive.
Working longer might be a dream. So save your money. I plan on designing avatars for spare change.

I'm a hospital security officer and we've got lots of "retirees" working for us, so it's easy to see myself working here for the rest of my life. The thing about security, as an industry, is that when the economy is good, there is more money for us, when the economy is bad, there is more need for us. I've been with my company for 23 years and we've NEVER laid anyone off.

[timj219]

If I can keep my health and my job I will probably work til I'm 70. If I hit the average that will mean ~5 years of retirement. I don't need much so I think I'll be OK between SS and a little bit of retirement savings.
My father took an early retirement package at 55 from IBM where they boosted his pension and carried his health benefits for ten years. But that doesn't happen any more. People today who occupy the position he did then just get laid off rather than given an early retirement incentive. I think for most people the golden age of retirement at 60-65, travel, golf, trips to disney with the grandkids is over. SS is always in danger of interference of various kinds, pensions are mostly a thing of the past, wage growth is stagnant (for about 30 years now I think) and your 401 is invested in markets which are always going to be vulnerable to failure.
But personally I'll be happy as long I can house, feed, and clothe myself in retirement.

[357]

I'm 32 and I've paid into it since my first job at 16. If they would give me the option of opting out now I would. Even if I had to sign off any right to the money I've paid in so far, just so long as I didn't have to pay any more in, I'd do it in a heartbeat.

The original promise of SS was a 2% return on your money. Evern since the fed started dipping into those funds, that has dropped. I know people have fears about the stock market, but on the long term average is actually very good. Way above 2%.

Average Stock Market Return per year: Last 5, 10, 20 ... Years
Since 1900 (end-of-year 1899), through 2010, the average total return/year of the DJIA (Dow Jones Industrial Average) was approximately 9.4% -- 4.8% in price appreciation, plus approx 4.7% in dividends. (Some numbers won't add up due to rounding.)

Since 1929 (End-of-year 1928 -- i.e., before the crash), thru 2010, the return was 8.8% (4.6%, plus 4.3%)

Since end-of-year 1932 (i.e., after the crash): 11.2% (7.0%, plus 4.2%)
The average annual stock market return for the past twenty-five calendar years, was 11.2% (8.4%, plus 2.8%)

Stock market returns for the last 20 years: 10.2% (7.7%, plus 2.5%) [see below for additional 20-year periods]

Returns for the last 10 years, 3.1% (0.7%, plus 2.4%) [see below for additional 10-year periods]

For the last 5 years, 4.2% (1.6%, plus 2.7%)

For 2010 the stock market (Dow/DJIA) total return was 13.8% (11.0% plus 2.8%)

2010 year-end dividend yield was 2.5%

My point is privitization is not evil or squandering away our retirements. A system like the previous president proposed where each person controls their SS contributions would have been a huge step in the right direction. The whole idea that the government is so much smarter than we are that they have to take our money by force to prevent us from pissing it away, only to "maybe" give it back later is rediculous. It's not their money. It's yours. Never forget that.

[Commander Quan]

Hope for the best, but plan for the worst. For a real world argument for privatizing SS check out this NPR article.

http://www.ncpa.org/pdfs/ba215.pdf

[cricky101]

It's not fair to treat Social Security as a retirement plan -- it's an insurance policy. You pay into the pool and get a return when you need it (hopefully.)