web analytics
April 20, 2014 / 20 Nisan, 5774
At a Glance
InDepth
Sponsored Post
Spa 1.2 Combining Modern Living in Traditional Jerusalem

A unique and prestigious residential project in now being built in Mekor Haim Street in Jerusalem.



Home » InDepth » Op-Eds »

Social Security: It’s Our Money


Share Button

“People need money in their pockets to spend. That’ll get our economy going again.”

– David Axelrod, senior adviser to President Obama Drastic situations require drastic measures. Thus, to reach Axelrod’s necessary goal, we need to end Social Security as we know it.

President Franklin Roosevelt, in his statement on signing the 1935 Social Security Act, said, “It is, in short, a law that will take care of human needs and at the same time provide for the United States an economic structure of vastly greater soundness.”

Almost three-quarters of a century later, the human needs of many Social Security recipients have indeed been met.

But who is to say that the financial status of millions more recipients would not have been better served had they been permitted to invest, save or spend hundreds of thousands of their own hard-earned tax dollars over their 40- or 50-year working careers – instead of the federal government forcing them to deposit 6.2 percent of their taxable earnings into a frozen savings account at an interest rate set by Uncle Sam?

In simple terms, why can our nation’s workers freely spend their income on legalized gambling sprees but are barred from shopping around for the highest possible return on an investment made from a portion of their salary?

And taking into account the current monetary meltdown and other difficult economic periods since 1935, is anyone convinced this landmark legislation has provided for the United States “an economic structure of vastly greater soundness”?

The economic constancy for which Roosevelt endeavored and Americans hunger can be achieved with a simple, radical overhaul of the well-intended — but essentially socialist — Social Security system.

It is time to make Social Security contributions optional. This – in contrast to President Bush’s $600-per-individual tax rebate check and the roughly $13-per-week addition to the average paycheck mandated by the recently enacted so-called stimulus bill — will permit the American consumer to acquire the purchasing power needed to spend or save his or her money for the creation of sustainable, long-term, robust economic growth.

The guiding principle behind this major policy shift would be the granting to American workers the inalienable right to determine their own financial present and future. After all, since the present economic calamity was largely caused by government incompetence, corporate greed and corrupt lending practices, shouldn’t hardworking Americans finally get the chance to show that their financial acumen is superior to that of the very people responsible for this sick economy?

Think of the cumulative gains to be reaped by all interested parties as a result of this long-overdue return of capital to its rightful owners — America’s assiduous Social Security contributors.

How much capital would resurface in the pockets of American workers? An individual (or a family) earning a relatively modest $70,000 a year who opts out of contributing to Social Security would net, at a 6.2 percent income savings, $4,340 per year.

Imagine how many more jobs would be created — through the added assets reaped by businesses from their savings of the matching 6.2 percent-per-individual contributions they contribute to the retirement system – to meet increased consumer demand following an expected spike in consumer spending. (And that spike would be even greater if the monetary intake were tax-free.)

Imagine the decrease in government outlays for unemployment insurance and food stamp payouts, and local governments’ increased income- and sales-tax revenue, which would permit them to cut their budget deficits (thus sparing future generations from footing the bill).

Imagine banks loosening credit as more Americans have stable jobs and more cash on hand and for down payments on purchases of new cars and large household appliances – purchases now on hold due to lack of funds.

And imagine the increased self-worth felt by millions of currently unemployed workers, newly able to provide for their families and thus enjoy a more settled home life.

Now that’s real economic (and psychological) stimulus.

Critics will argue that permitting taxpayers to tap into their accrued Social Security accounts will further weaken a system already struggling to remain solvent. To be sure, additional resources for the continuance of monthly payments to current recipients would be needed to offset the withdrawn funds. Where would these supplementary monies come from?

Share Button

About the Author: Eli Chomsky is a copy editor and staff writer for The Jewish Press. He can be reached at eliris18@aol.com.


If you don't see your comment after publishing it, refresh the page.

Our comments section is intended for meaningful responses and debates in a civilized manner. We ask that you respect the fact that we are a religious Jewish website and avoid inappropriate language at all cost.

No Responses to “Social Security: It’s Our Money”

Comments are closed.

SocialTwist Tell-a-Friend

Current Top Story
Ukraine Shul Firebombed
Ukrainian Synagogue Firebombed (Video)
Latest Indepth Stories
matza

If itis a mitzva to eat matza all Pesach, then why is there no berakha attached to it?

Masked Palestinian Authority Arabs hurl blocks at Israel Police during and after "worship" at Temple Mount mosque. (archive photo)

When we are united with unconditional love, no stone will be raised against us by our enemies.

Haredim riot after draft-dodger is arrested.

The reporter simply reports the news, but it is greater to be inspired to better the situation.

Bitton-041814

The Big Bang theory marked the scientific community’s first sense of the universe having a beginning.

Freeing convicted murderers returns the status of Jewish existence to something less than sanctified.

“The bigger they are the harder they fall” describes what God had in mind for Olmert.

We, soldiers of the IDF, who stand guard over the people and the land, fulfill the hopes of the millions of Jewish people across the generations who sought freedom.

How much is the human mind able to grasp of the Divine?

Jews have brought the baggage of the galut (exile) mentality to the modern state of Israel.

The Haggadah is an instruction manual on how to survive as strangers in strange lands.

It’s finally happened. New York Times public editor Margaret Sullivan reported on her blog that “many readers…wrote to object to an [April 2] article…on the breakdown in peace talks between Israel and the Palestinians,” claiming “[they] found the headline misleading and the article itself lacking in context.” Ms. Sullivan provided one such letter, quoted the […]

Nor did it seem relevant that according to widely circulated media reports, Rev. Sharpton was caught on an FBI surveillance video discussing possible drug sales with an FBI agent.

Jewish soldiers in the Polish forces often encountered anti-Semitic prejudice.

When the state was established, gedolim went to Ben-Gurion and asked him not to draft women and, later, yeshiva bachrim.

More Articles from Eli Chomsky
Menachem Begin

Do Israelis believe it’s OK for political aspirants to say whatever they feel is necessary to gain power?

Front-Page-101912

Despite public surveys that show the general public largely opposed to negative campaigning, the overwhelming majority of candidates in contested races have refined this strategy almost to an art form.

Yeshiva University men’s basketball coach Jonathan Halpert now has his signature on the school’s men’s basketball court. The Coach Jonathan Halpert Scholarship Fund, an endowment to be awarded annually to children of YU alumni living in Israel wishing to study at the university, now bears his name. Later this year Halpert, who earned his high […]

Regarding the positive Torah commandment to pray, Rambam writes, “This commandment obligates each person to offer supplication and prayer every day and utter praises of the Holy One, blessed be He; then petition for all his needs with requests and supplications; and finally, give praise and thanks to God for the goodness that He has bestowed upon him – each one according to his own ability” (Mishneh Torah 1:2).

President Obama would have better reflected American values in Cairo recently had he spoken with blunt honesty regarding recent Middle East history. Here’s the speech he might have delivered:

Remembering Rebbetzin Lillian Chomsky On Her First Yahrzeit

“People need money in their pockets to spend. That’ll get our economy going again.” — David Axelrod, senior adviser to President Obama
Drastic situations require drastic measures. Thus, to reach Axelrod’s necessary goal, we need to end Social Security as we know it.

Here is the campaign speech I wish John McCain or Barack Obama would deliver:
If I were a typical, hardworking wage earner uninvolved in the full-time practice of government and

    Latest Poll

    Now that Kerry's "Peace Talks" are apparently over, are you...?







    View Results

    Loading ... Loading ...

Printed from: http://www.jewishpress.com/indepth/opinions/social-security-its-our-money/2009/04/01/

Scan this QR code to visit this page online: