Is your money really safe in the hands of Social Security?
Will the system last? I mean really last - to give back hundreds of thousands of people around the world their mini investments that they and their employers gave over the years?
These are but some of my burning questions as I continue to propose that Social Security is somewhat of a legalized government run PONZI SCHEME.
What is a Ponzi Scheme you ask? According to a web based definition on Wikipedia.com - A Ponzi scheme is a fraudulent investment operation that pays returns to its investors from their own money or the money paid by subsequent investors, rather than from profit earned by the individual or organization running the operation.
Soooooo - I hope you get where I'm coming from. If employment rates are low and there are not much new employees coming in to top up the SOCIAL SECURITY fund, then how will it keep paying out monies when nothing is coming in.
If more young people around the world are seeking online work and many are not opting for Social Security - How will the fund stay properly topped up?
If there is no employment, then no social security is coming out of the wages of people and employers won't have to match it on a monthy basis.
Why haven't people asked and kept on asking for a proper quarterly or bi-yearly or yearly report of a detailed way in which the funds are being spent? Next time you see a director or board member who serves on your country's Social Security Board - Ask Them about how some monies are being spent and demand an answer and see what response you get.
It's your money and you and others have a right to know what is going on with YOUR MONEY.
Are the board members taking the money employees and employers work so hard for and investing it in FAILING SYSTEMS to try to get a bigger and quicker return?
That is what many of the USA banks did why they failed. They made too many RISKY INVESTMENTS with no look into the distant future and lost people's money. ALOT OF IT.
That is WHY WE ARE IN THIS FINANCIAL CRISIS. Not because of anything bad that we did, but because of what the BANKS did and we have to suffer. I wonder if it would be wiser to all invest in SAFES and save in our homes. We would lose out on the miserly low interest rates they give us every three months or the low rates they give us on Certificates of Deposits.
I'm sure we can Save our money in safes, use it ourselves and make more on it than what the banks and social security systems are giving over time. But they make us feel we NEED them when it is not the truth.
BANKS and SOCIAL SECURITY aren't really there to help. Like any business, they have THEIR OWN interests at heart - don't you realize? Why do you think at at Annual Meetings they boast on how much they profited and instead of passing it down to us because it's our money they invested, they take large bonus'. Some banks pay their employees significant commissions while our interest rates remain ridiculously LOW when it was OUT money - even if you only saved $10 or contributed $10 to Social Security - it was your $10 that helped.
Suppose our Social Security Boards are making risky investments with OUR MONEY but not letting us know? That means our money is in jeopardy when we pay it into The Global Social Security Ponzi Schemes that can shut down anytime just like many of the banks that plunged us into this recession.
I am not alone when I suggested that Social Security may be a PONZI scheme. I browsed google.com to see if there were others that shared my view and I found some. Actually some of those seeking political office in the USA mentioned that SOCIAL SECURITY needed some urgent and serious reform.
The New York times covered this story with some of our future leaders indeed calling the SCHEME PONZI. . . .and concerned as to whether it will last. See their aricle below: http://www.nytimes.com/roomfordebate/2011/09/09/is-social-security-a-ponzi-scheme
As the Republican presidential debate and President Obama's speech this week made clear, politicians are now willing to call for changes to entitlement programs like Medicare and Social Security. For the leading G.O.P. contender, Social Security is definitely not a sacred cow: Gov. Rick Perry of Texas said in the debate that “you cannot keep the status quo in place and call it anything other than a Ponzi scheme.”
An article in The New York Times after the debate said "that metaphor is misleading." The reporters noted: "Government projections have Social Security exhausting its reserves by 2037, absent any changes, but show that the payroll tax revenues coming in would cover more than three-quarters of benefits to recipients then."
Does that mean the system is not a Ponzi scheme? How is Social Security different from a Ponzi scheme?
And so I close and ASK - Will Government-Run Social Security Ponzi Schemes soon come crashing down around the world?