Social Security Scare Shows Importance of Savings

Summary


Although the system is solvent now, actuaries have anticipated financial difficulties in the future because of the nation's increasing longevity. When the program was first enacted the life expectancy of Americans was only 60. The period of retirement for survivors was relatively brief. Now life expectancy is 78, so surviving retirees will have to be supported for years longer.

[Bush]'s proposal is the worst possible solution to the problem. In fact it is no solution at all. Personal investment accounts will not provide working-class retirees with the assured income they will need. If the president is so confident of the stock market approach, then he should endorse President Clinton's idea to permit the Social Security Trust to invest in equities as do state retirement funds.

The record is clear. For decades conservatives have tried to eliminate the Social Security program. President Bush and those around him endorse this concept. The radical change Bush proposes is the first step toward eliminating Social Security altogether. Citizens who have not amassed substantial assets should become informed and protest against Bush's tactics.

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Extract


Social Security Scare Shows Importance of Savings

When planning for retirement, most people take into consideration the expected income from Social Security. About half of American retirees depend upon Social Security to provide more than hal...

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