Comments on: Would You Opt Out of The Social Security Ponzi Scheme?

By: Bambi911

Bambi911 — Tue, 03 May 2011 00:23:56 +0000

Politicians now secretly realize that Social Security functions ‘effectively’ a Ponzi scheme, but most are too gutless to tell the American public.

By: Social Security Bans Pay Back Do Over Technique for Retirees

Social Security Bans Pay Back Do Over Technique for Retirees — Wed, 27 Apr 2011 13:30:57 +0000

[...] my hatred for Social Security it will continue to be an important part of most retirees world and way back in 2009 I discussed a [...]

By: Evan

Evan — Mon, 11 Apr 2011 13:28:36 +0000

Cha…Ching…another 6.5% in my 401(k)!

By: lee

lee — Mon, 11 Apr 2011 10:33:59 +0000

You are forgetting that assuming you opt out, your employer is contributing 6.5% on your behalf. If you opted out, then your employer should / could pay this to you.

By: alex

alex — Fri, 18 Mar 2011 10:53:01 +0000

Well that’s pretty standard isn’t it? Most taxes are designed to take money from the rich to give to the poor. Which ok, is a nice idea, but I can’t help but think it is unfair on those people who work really hard to make their fortunes. I shouldn’t really complain, since I am certainly not in that bracket of being “rich”, but just a thought.

By: 2011 Tax Changes Summary of Extensions Credits and Deductions

2011 Tax Changes Summary of Extensions Credits and Deductions — Wed, 22 Dec 2010 05:52:06 +0000

[...] that only 4.2% of my salary will go to FICA instead of 6.2%.Â While everyone knows I would love to opt out of the ponzi scheme called Social Security â€“ this provision is just idiotic.Â Â We have fledingly Social Security System, so you know what [...]

By: Mark Finzel

Mark Finzel — Sat, 18 Dec 2010 19:07:11 +0000

I would absolutely without a moment’s hesitation opt out. I already have my own Disability and Life Insurance. I can guarantee I could take my monthly SS contribution and do better with it over the long haul–heck even if I stuck it under a mattress it would be better. I’m 29 so I basically expect SS to be non-existent by the time I retire…it is unsustainable.

By: Yakezie Challenge Carnival Roundup For August 1, 2010 | Not Made Of Money

Yakezie Challenge Carnival Roundup For August 1, 2010 | Not Made Of Money — Mon, 02 Aug 2010 11:22:33 +0000

[...] My Journey To Millions asks “Would You Opt Out of The Social Security Ponzi Scheme?” [...]

By: Evan

Evan — Fri, 30 Jul 2010 20:16:12 +0000

If its not 67 what age will it be? Doesn’t that mean I’ll be paying even MORE into the system?

I bet if you calculated what you (and the patner) put into the system vs what you got out I think you’d be upset. Its a lot worse than than the .85 cents on the dollar (that number also doesn’t take into account th 8% you got over 30 years before that).

“But surely all those who do think Social Security is a â€œPonzi schemeâ€ should opt out”
- Unlike choosing not to play lotto (side note: I LOVE scratch offs) I can’t choose to opt out.

By: Funny about Money

Funny about Money — Fri, 30 Jul 2010 19:20:34 +0000

Wait. I’m not sure you can assume that a person who’s now 28 will actually collect at age 67. As a survivor of the Pleistocene, my “full” retirement age is 66. It’s reasonable to expect they’ll raise the retirement age for younger cohorts. If that happens, it’ll change your calculations significantly.

Honestly, I don’t know what I would do if it weren’t for Social Security. I was laid off at 64 into the the worst job market since the Great Depression, at an age when under the best of circumstances I’d have about a snowball’s chance of getting rehired. I’ve lived frugally most of my adult life, stayed out of debt, and dutifully invested so much of my income that Quicken’s financial planning software used to say I was trying to save “too much.”

As I recently observed online, the value of a dollar invested in my portfolio 10 years ago is now about 85 cents; it exceeded 100 pennies for only a couple of years during the entire decade. The value of Social Security did not disappear into thin air. I can’t live on the Social Security checks, but trying to scrabble together an income on a variety of contract gigs does not work. Without Social Security, I would lose my paid-off home to taxes and — no exaggeration — I would be starving.

So, no. I would not opt out.

But surely all those who do think Social Security is a “Ponzi scheme” should opt out. Just as you’re not required to participate in the state-run numbers game that is the lottery, you’re not required to draw Social Security benefits. If one believes it’s that crooked, one could preserve one’s moral integrity by not taking the money. Consider leaving your money in the system a tithe for those of us who really do need the benefit.