The Pharmacy Chick

Flying the coup in retail

Dont Run your household finances like this.

Filed under: Uncategorized — pharmacychick at 5:02 pm on Sunday, March 14, 2010

According to the Social Security Administration (SSA), from its inception,  they have always collected more in taxes than they have paid in benefits.  This keeps the SSA solvent.  This is good advice to anybody with a budget.  Spend less than you make.  The Chick family lives by this mantra…and hopes that Social Security will be play money and not necessary money to our household..

However THIS year, for the first time ever,  SSA will be paying out more money than it is taking in…29 billion dollars more.  

http://news.yahoo.com/s/ap/us_social_security_ious

oops..

What about all the money the SSA has been saving?   The Federal govt has borrowed it all…and issued IOU’s in its place…the SSA wants it back.

double OOPS.

Neither a borrower nor lender be. 

Sage advice..too bad SOMEBODY didnt’ listen to it.

3 Comments »

Comment by tomato-head

March 15, 2010 @ 7:17 am

So I think you’ve won some kind of award – the top pharma blogger – from health and life medical blog site =)
you are full of crap…..

Comment by Koala

March 15, 2010 @ 11:31 am

This is one of the reasons I want to live somewhere else in the world.

It’s inevitable that something has to change. Either 1) benefits will be cut or 2) SSA taxes will go up. I’m voting for #2 because the baby boomers will never let #1 happen, at least while they have dominate #’s and can vote.

Same thing with the Feds….cut spending or raise taxes. Clearly the Federal budget is out of control, so increasing taxes is only a matter of time. The day of reckoning is coming when the USA’s sovereign debt rating is cut and foreign investors demand a larger risk premium to hold our bonds ie. increasing interest rates. The Feds are already printing $ at a furious rate, which is inflationary because it devalues the $ already in existance.

Comment by Mickey Blue Eyes

April 5, 2010 @ 10:53 am

And So-so Security will go bankrupt about the time I become eligible to withdraw.

And yet… every fortnight a large chuck of my income goes toward a SSA account that I don’t own and have no right to, according to the Supreme Court, that will have disappeared by the time I am eligible. And that does not include the equally large chunk that my employer sends to the SSA in my name.

If I could send my half of the SSA contributions to a 401(k)/403(b), I know I would get a better return on my money than the Federal gov’t. Heck, putting the money in my mattress would have a higher rate of return than the Federal gov’t.

RSS feed for comments on this post. TrackBack URI

Leave a comment

XHTML: You can use these tags: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>