Thoughts On Social Security

The Tennessean (Nashville's morning paper) recently published a letter to the editor that I submitted on one of today's hot topics: the future of Social Security. See what you think of my perspective:

To the Editor:

Reading Rebecca Kelly’s column (Oct. 12, 2007), it sounds as if AARP is desperate to paint a rosy picture of Social Security’s current condition and future prospects. Worse still, AARP’s central idea for sustaining the program is “raising the cap on wages subject to the payroll tax or increasing the payroll tax a half percent.”

Kelly can’t be serious. More taxes on already overtaxed workers and employers? She should know that this federal entitlement has problems that simply cannot be solved by more taxes. If AARP is alarmed at all by Congress’ gross negligence in dipping into the trust fund “surplus” for other projects, Kelly makes no mention of it. Rather than sticking it to current workers to keep its special-interest group happy, AARP’s resources would be better directed against the irresponsible governmental leaders who have siphoned away funds from the “trust.” Heck, AARP might even consider extolling the wisdom of allowing a measure of private investment as a means of boosting the fund.

As for me, a 39-year old with at least 28 years until retirement, I’m not counting on Social Security but am instead fiercely focused on building up a nest egg through personal investments and the 503(b) offered by my not-for-profit employer. Come to think of it, I can’t remember ever hearing anyone in my generation say, “I’m sure glad Social Security will be there when I retire.”Many of us aren’t banking on it. Cynical? Maybe. But when folks like Kelly advocate pouring more of our hard-earned cash into a bottomless bucket that may or may not hold anything in our later years, can you blame us?