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Wallace Garneau's avatar

I don’t normally comment on my own articles, but someone on Facebook noted that our seniors need Social Security to survive, and I don’t want anyone reading this to think I’m discounting that.

I am not calling for Social Security to be eliminated, although like Medicare and Medicaid it would need to be spun to the states to be constitutional.

Social Security, however, is a special problem that cannot easily, or quickly, be solved. I did not bring up a solution, as the article was long enough without it, and solving Social Security could be a whole additional work.

In a nutshell, I would suggest we privatize it fully, to make it solvent, before spinning it off to the states. Eliminating the payroll tax cap might be necessary to transition to a private system while still paying current and upcoming seniors. Everyone should get at least what Social Security would pay if it continued as is, both through and after the transition.

Once a private system reliably pays more than the current model, we could tax the highest earners within it to preserve a guaranteed minimum benefit equal to what Social Security would have paid. That way, no one gets less than they would have under the old system - and those who do well can earn more.

This is outside the scope of the main article, but I raise it to make clear I do not advocate eliminating Social Security outright. And if we ever admit new states, we should not bind them to our current, broken model.

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Richard Anderson's avatar

When I read this I weep. When my young adult kids read this, they are angry, terrified and depressed.

Sweden’s Reinfelt was actually complaining about his fellow Swedes who have been bamboozled/brainwashed by the Social Democrats (Socialists and Communists) in that country for decades.

When my grandchildren read this, they will see that we saw it coming… yet we ruined the republic, nay, the world. They will hate us when they’re old enough to realize what mistakes “we” did… and what we didn’t do to fix it. They can start back with FDR, but we are all complicit.

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