RE: Explain Social Security Plans

[National Dialogue Moderator <moderator>]

I do not support approaches that would use general revenues to continue to 
support the existing system. The current linkage between payroll taxes and 
benefits imposes a very necessary discipline on the system. I also think it 
is unconscionable to push this problem off on our children and 
grandchildren. That is what President Clinton's plan to contribute more 
Treasury bonds to the system  -- which will only have to be paid off, with 
interest, in the future  -- would do. Moreover it pushes the problem off 
without addressing the liability side of the equation at all. We have a 
system that is permanently out of balance because of the aging of our 
population. We need to face up to that and deal with it. 

That being said, I would accept the use of general revenues to pay current 
beneficiaries benefits while we transition to a partically funded system 
where workers contribute a percentage of their current payroll taxes into 
individual accounts that they own and control. General revenues represent a 
tax on all of society -- and that may be appropriate to help us fund the 
transition.

Ann Combs
William M. Mercer