Younger Workers
- Date: Wed, 26 May 1999 13:56:12 -0400 (EDT)
- From: Michael Jones <powderfinger99@yahoo.com>
- Subject: Younger Workers
The two proposals presented so far present a picture which
can only confirm younger worker suspicion that this program
will not be there for them.
Both of these proposals reduce the return on investment for
younger workers. Very likely the return will become even
more negative than it is right now for younger workers.
Most of the burden for the unfunded liability comes at
the expense of future retiree/worker return. There is a payroll
tax cap increase in the Gregg proposal, a lower CPI adjustment,
in addition to raising the retirement age sooner than under
current law.
What do younger workers get in return for higher taxes, lower
return and more uncertainty about getting a benefit? An investment
account with just 2% of payroll tax. This won't nearly be
enough.
Young workers should not be forced to enroll in this system that
will guarantee them a negative return. How can any of the panelists
advocate that new workers pay into a system that will definitely
fail them?
Young workers should be given the option to enroll in a 100%
fully funded system.
Michael
