BoatBanter.com - View Single Post

Canuck57[_9_]

On 11/06/2010 9:36 PM, wrote:
On Fri, 11 Jun 2010 18:23:42 -0600,
wrote:

Actually, stuff like SS was wel funded. But skimed by the government.
And often invested in losers because of politics. If all the 30+ years
a working types has SS (employer and employee) in their 401k they would
retire early.

The problem is the government has no vehicle to actually save money
since we got off the gold standard. SS was always pay as you go and
the trust fund was just a scam to collect more taxes for other things.
mostly wars. Originally it was WWII (lend lease)when the trust fund
was established (1939-40) and it was put on budget to hide the cost of
the Vietnam war (1968-69).

The concept of 401ks is flawed too looking forward because 83 million
boomers pulling their money out of the stock market and spending it
will crash the market.

The real problem is you can't have a third of the adult population
living off the work of the other two thirds without a revolt.

Actually, that is optimistic with th truth being much worse. Much less
than 1/3rd of the people work in non-government jobs and pay any
meaningful taxes. So in fact one worker is supporting two people or
more on average. And one is not their family.

On deduction that should be phased out is mortgage tax deductability as
you get older. Say at 20 you get the full benefit, but as you get older
say to 50 it disappears. Encouraging people to have their homes 100%
paid for in due time. That is, reduce mortgage deductabiltiy
encouraging equity in the home.

So when the economy tiffs, they are less likely to toss the keys to the
repo man. And be in a hell of a lot better position for retirement.
But this would be progressive and will not happen as the US economy is
now built on debt that is going delinquent.
--
Taxation, modern day slavery. The loss of economic freedom.