RE: Saving Social Security

[Michael Jones <powderfinger99@yahoo.com>]

Andy you provide some good information here about the current PayGo
system. I am a bit skeptical about DB plans being the best vehicle
for retirement savings. If you look carefully at many large company
pension plans, you will find that they are DC plans in disguise
(sometimes referred to as 'cash balance accounts').

I have both a 401K and a DC penson plan at work. The DC pension
has offered a poorer return compared to the 401K since its return
is fixed.  I mean no offense, but I want my retirement money out
of the hands of actuaries and politicians, including private and
public plans. Both PayGo and DB plans are inferior to a DC plan
invested in index funds. A DC plan invested in index funds has very
low cost and no actuary/investment manager/politician is required.
If you ask me all of these parties are scared that they will be
out of business since they won't be needed anymore. It's already
happening.  Michael