Posted by Mike (WA) on October 15, 2007 at 14:26:31 from (69.10.197.227):
In Reply to: OT: Social insecurity posted by Midwest redneck on October 15, 2007 at 13:57:55:
Problem with that is that the guvment can't stand to see anyone "needy". So when you give each retiree this lump sum bonanza, and within a year a third of them have blown it at the casino and/or liquor store, Uncle Sugar won't be able to resist some kind of further bailout for them when they come crying, and you'll be even worse off. Other problem is that they really don't have the money to do it- they are paying the monthly benefits from the money that current workers are paying in. If they suddenly had to pay everyone a lump sum (even if only half), it would still be a heavier cash flow hit than they have right now. That's why guys like me (nearly 60) are really pulling for guys like you to hang in there and work hard, so there'll be money in the pipeline when we start to draw. God bless you, every one!
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