RE: Investing in Stocks

[Michael Jones <powderfinger99@yahoo.com>]

Here's a response from a "younger, angry and downright hostile poster"

<<<<
It seems as though the predominance of younger, angry, and downright
hostile posters are the ones who want to "take it away" from current
retirees, not the Government.
>>>>

I don't want to take anything away from current retirees because
they were duped just like everyone else with this program.

<<<<
I wonder what the impact would be on SS solvency if ALL IRA's,
401k's, and Roth IRS's were to be immediately discontinued as tax
advantaged vehicles, taxes on all accumulations were to become due
immediatedly, and the resultant revenues used to bolster SS.
>>>>

I have already planned for this possibility by putting most of
my wealth into taxable accounts. Folks, any program
such as 401K's, IRA's, etc. are GOVERNMENT programs. It is not
too hard to imagine politicians trying to tap this money for whatever
purpose they see fit. Just think: in 10 years when SS starts going
bust there will be probably be a significant number of millionaires
created off these programs.

This is where the anger starts. If this program is not changed
soon, there are going to be millions of people who will be
left behind because they don't have a "stake" in our capitalist
system. The future have's and have-not's will
be those who have investments and those who don't.

When this program goes bust, the government is going to come looking
for more money. Most likely they will use the usual route of taxing
wages of the current workers to make up the short fall. Realistically
they can't cut benefits too much more because the benefit will
become too low for even a meager existence.

Over time, this will make it harder for newer workers to save and
invest because they will be committing more of their current
wages to support the current retirees. (This is a continuation
of the current trend. The original payroll tax was 2%, now it is
15%). Wage income will become even less economically beneficial,
especially compared to unearned income. The workers of the future
will have a harder time saving and investing than current workers
do now. 

<<<
Privatizing won't work because it would be contrary to the very
basic reason SS came into being in the first place.
>>>

Privatizing is the only acceptable plan for the retirement component
of Social Security. The program has been expanded since conception,
to included retirement and disability benefits in addition to
a safety net.

<<<<
For those who so vehemently want to "privatize" and let everyone
shift for themselves, I suggest that you that look VERY closely at
what life was like in the 30's with breadlines and extremely
widespread poverty. It could happen again!!!!! We may not be our
brother's keeper, but we surely cannot totally ignore him either.
>>>>

The program is not only a safety-net, as perhaps it was intended
when originally conceived. The program offers disability and
retirement benefits in addition to the safety-net. All young people
are asking is that the money confiscated for retirement purposes
use the best plans available in the private sector.

I can argue about whether the other benefits are worth paying for
in a government program, but I will concede that point.

Michael