Mr. Anderson referenced Galvaston and other municipalities that opted out of SS when it was still legal to do that in 1981. Colorado and its Public Employeer Retirement Assoc (PERA) is an even better example. It was founded in 1924 so preceeded SS and was "grandfathered" out of SS. To help some of you who worry about market down turns, PERA has been investing in equities since 1962. Even with the early 1970's recession, the early 1980's recession and the "crash" in 1987, PERA has returned an annual average return of 11%!! Public policy that traps its citizens in the low rates of return of pay-as-you-go Social Security is disgraceful. Isn't it wierd that public employees in Colorado benefit from private sector growth of their retirement money, but private sector employees are DENIED that opportunity with their FICA taxes? PERA employees can get their money out if they quit their job. They can retire at age 55 with 20 years service at 50% of an average of the last 3 years' salary. They can retire at 55 with 30 years service at 75% of their last 3 high years' salary. The average private sector worker gets only 42% or less of the last 35 years average salary and must wait until age 65! Does this give you some idea of how bad a deal Social Security is?
