Social Security the greatest theft in history!

In 1935 Congress implemented the Social Security act of 1934. This act mandated a tax on wages, ostensibly for a retirement program. However, the benefits are not guaranteed, but subject to the whims of Congress, as is the contribution rate. And Congress has been raiding the alleged trust fund since 1968 spending every excess dollar, not on income producing assets to shore up the system, but essentially to buy votes while self aggrandizing. They have replaced the monies they spent with pieces of paper they created solely for this purpose, the "Special class, NON MARKETABLE Treasury security". This is nothing more than an IOU. It says Congress spent your retirement and will raise the funds to repay it with taxes extorted from you, and your children at some later date.

Now flash forward to 1981, President Reagan entered office to find Social Security functionally bankrupt. during it's life span it had taken in just over $1.4 trillion, and paid out just over $1.6 trillion. Reagan did not leave the Seniors with nothing, he doubled the contribution rate, saving Social Security until 2009, when president Obama became the first president to partially defund social security. And the intellectual lightweights in the Democrat party cheered him for his "tax cut", evidently not realizing that this was not an income tax cut, but a cut of the sole funding mechanism for Social Security and Medicare. What was the result you ask? For the first time outlays exceeded income, and social security had to draw from the general fund, something it has been doing since.

Let's try a little math here to demonstrate how social security rips off the average worker;

Every wage earner must contribute 12.4% of their income to social security. half from their check, half matched by their employer. Lets take the average worker earning an average of $50,000/yr. over his 50 year working life. Every year he contributes $6,200.00 for a grand total of $310,000 over his working life. For this, currently social security will give him a poverty level retirement of $19,862/yr.

Now, lets say that the worker owned his retirement, and Congress was forbidden from stealing it. He would contribute the same $6,200/yr. and lets say he chose a very safe form of investment, tax free municipal bonds paying 3.5%. These are the types of bonds that fund libraries, roads, fire stations, schools, etc. At the end of his 50 year working life he would OWN a retirement nest egg of $823,640.23. This will provide a retirement income of $44,388/ yr. And he can leave the fund to his kids, helping them on their way. He has created wealth.

So, social security forces you to pay enough for a middle class retirement to achieve poverty status, in an inflationary retirement.