An idea whose time has come?


  1. Wandering thought: If folks could contribute (pay into) to Social Security such that they could make up past years of work up to the maximum for each of those prior years, would it have a material effect on bolstering Social Security?
    That would mean that for each $1,000 short of the max for a given year, the individual could send in another 15.3% to increase their contributions up to a total of 35 “topped off” years.

    One immediate strategy might be to top off 35 indexed years. The idea being to maximize SS as an inflation protected, guaranteed income for the retiree AND for surviving spouse.

    I find this topic to be worth thinking about at least. I’ve never been bright enough to make sustained income in the stock market like I was in real estate so a sure bet investment would be very useful to me. Also, if I must make a bet, I like the odds that SS will be just fine in 2036.


  2. It’s called an IRA. If you already made the leap to save in a 401K, why would you give the money to the government who one day may be forced to only give you only 70% of your social security benefit if they don’t fix it?


    1. I have to disagree with you there. What we need is a guaranteed annuity income stream with automatic saving, hopefully in good part funded by employers. In other words a pension that reflects all working years. Many details to consider. Never fear the 23% cut in 2034 will never happen.


      1. Eventually all entitlements will run out of taxpayer money and have to be means tested…those who sacrificed to save will be punished with less benefits…those who chose to not save will be rewarded…it’s called socialism.


      2. We could accomplish these same goals by raising the FICA tax to cover the shortages that are coming to the SS program in 2035. Then also provide additional benefit credits and a larger SS check, for any employee who want to pay additional money into the SS system. My biggest problem with the current payout is that employers pay in less for low income workers and more for higher income workers. The lower income workers need a higher SS benefit check for a stable retirement and the employers who have lower income workers are paying less per worker. I would like to see the system changed, to not be linked to income, but have the same paid in for each worker. with everyone receiving the same monthly benefit.


  3. There is a book out, “Rescuing Retirement” by Teresa Ghilarducci and Tony James that addresses the topic. It would not be voluntary however. Still an interesting read.


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