Social Security has just issued an Emergency Message to its staff concerning the early release of 27,000 checks for Supplemental Security Income. They were supposed to arrive on November 1 but were released on October 20. Social Security is telling recipients to hold the checks until November 1. If a recipient tries to cash the check and a bank makes marks on the check, the checks must be returned to Social Security. A replacement check will be issued in five to seven business days.
If the government really wants to reduce the social security budget, it should allow those of us who are still working to fund our retirement plans to whatever extent we deem possible. Thus, if we want to reduce our taxable income by $75,000 this year, all we have to do is invest the funds into a retirement account. There would be no access to the excess contributions until we reach 65 years of age. When I retire at age 65, my monthy social security payment is reduced by 1/3 of my excess contributions. My plan favors everyone.
ReplyDeleteI like it. I disagree with mandatory privatization of SSA retirement (aka the Bush plan). HOwever, I think your plan is a good compromise. It let's those who can afford it opt out (and provides some incentive to do so), while still preserving a large portion of the tax base that supports those less fortunate.
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