March 23, 2010
Telling the Truth about Social Security
I am an outspoken proponent for constitutionally limited government. Although this principled stand has been enthusiastically received, concerns exist about the future of social programs. Specifically, people are justifiably concerned about Social Security, which is projected to be bankrupt in less than 30 years.
Sadly, our political class has defrauded Americans for over 70 years with Social Security. Roosevelt sold Social Security to the American public as an insurance program, in which citizens were supposedly making payroll tax contributions towards a government insurance program in which they would ultimately receive an earned benefit.
However, Social Security is not actually built on an insurance or actuarial model. On the contrary, the payroll taxes are immediately spent by politicians, to fund whatever Congress decides. There is no social security trust fund – only IOUs issued by the Treasury to the Social Security Administration. With nearly $13 trillion in debt (as this is written and excluding other unfunded future liabilities), what are the odds that our government will ultimately be able make good on these IOUs? As of 2008, the present value of the Social Security unfunded obligation totaled $18.8 trillion, and it continues to grow. This is a Ponzi scheme that makes Bernie Madoff seem like a petty thief.
I support the transition to privatized retirement savings, in which citizens own their own retirement savings, decide individually when they have accumulated sufficient savings to retire, and are able to place their savings beyond the greedy reach of corrupt politicians. A key part of the transition plan requires putting the current program on a sounder financial basis to support current retirees and any worker with insufficient earning years remaining to adequately save for retirement.
While I understand that individuals who seek to score short-term political points by denying the enormity of the social security problem will attack me for pointing out the problems with this entitlement, I am determined to help prevent this coming train wreck. You have a choice. Dont be lulled by those who want continued access to your savings. Join a military veteran and business man in putting our nation on the path of personally secure retirements and fiscal sanity.