Post by Gillian Murray
However, remember Gary, that the purpose of Social Security was to cover
theBASIC needs of life. Not the life we would like to live, and not the
I both understand and agree to that purpose for Social Security!
Unfortunately, Social Security is NOT ENOUGH to cover even the barest
of necessities for someone who worked AND PAID into the system their
My mother has to sell her home and move because Social Security is NOT
ENOUGH to cover even her health insurance and real estate taxes, much
less leave anything left over for food and utilities.
My MIL's Social Security don't even cover her cost for health
insurance. She would have lost her small home too after her savings
finally ran out, if family would not have bought it from her and let
her still live there rent and utility free.
People who thrive on Welfare make exponentially more money than those
who paid into the system their whole lives through Social Security.
I knew a family personally that for the entire 7 years I knew them
received over $1,800.00 per month through various government entities,
none of which did they ever contribute to EVER.
While those who worked their entire lives, PAID into the system their
whole lives, end up losing their paid for homes because of exhorbitant
taxes, high medical insurance costs, and the low amount paid by Social
Post by Gillian Murray
My MIL worked her entire life as a Dining room hostess, cocktail bar manager
etc in ritzy hotels. Did she declare tips, obviously not. ( It was none of
their business is her answer). Now, because of that failure to pay into the
system, she lives with us and has $450 US ( less Medicare premium) a month.
IF she had been honest, she would have a much larger Social Security check.
Before you ask about getting the husband's basic, he was the chef, and never
declared income. I am sorry, but I have no pity at all for people like the
MIL who has evaded the system all her life. As a point of interest, she is
now our dependent, because her nominal $100 a month to the Housekeeping
account covers zilch!!
Your MIL would have still received a paycheck, of which FICA would
have been deducted from her salary and DOUBLE that amount would have
been paid into Social Security by her employer.
I don't know how she kept from being Audited showing only salary with
no tips, so she must have claimed some of them.
As far as her husband, I have no idea how he landed a job as a chef
for a company that did not report payroll as an valid expense. If he
didn't report his earnings, he should be in jail for income tax
evasion, where he would get free housing, 3 squares a day, and the
best of medical care, all at the burden of the taxpayers.
Post by Gillian Murray
In Canada, things are different. here in the US it is up to individuals who
work the way MIL did to declare the tips as taxable income.
I agree that all valid income should be reported and the taxes paid on
same, regardless of the source of that income.
But I wonder if you KNOW that Earned Income is taxed to the employee
at 7.65 percent, deducted from their paycheck, and subsequent income
NOT paid by the employer, such as tips is taxed at 15.3 percent, JUST
for Social Security and Medicare?
Now add that 15.3 percent to your Federal Income tax percentage
bracket, if your in the 26% tax bracket, you are now paying 41.3
percent of your income, add to that all the other taxes you are hit
with, personal property, real estate, sales taxes, luxury taxes,
excise taxes, etc.
Every GREAT country all throughout history FELL when their gross tax
collections crossed the 25% mark. The USA is well over 50% and
artificially being held together by people who keep hoping it will
change for the better. But instead, it just keeps getting worse!
Think about the collective income and spending habits of ALL Americans
for a while.
Now, what would happen if EVERYONES spendable/useable income were to
One of two things would happen, they would either continue to live
beyond their means on credit, or they would have excess cash to put
away for retirement, to make investments, to care for their parents,
With taxes currently well over 50% of your income, is it being put to
good use? Or is it wasted and used to fill the hip national bank of
Social Security is a government sponsored PONZI Scheme the Each and
EVERY ONE OF US are getting BURNED by.
YOU Will NEVER live long enough to collect back what you have paid
into Social Security! Medicare is taxed separately from Social
The average worker earning for example 25,000 dollars a year, amasses
over 3,000 dollars annually going into Social Security.
Paying into this system at that rate for 40 years means they have
amassed over 120,000 dollars in their pot.
The current average human lifespan is roughly 76 years of age.
If you retire at age 66 at reduced benefits of $856.00 per month
social security income and make it to 76 years old, there would still
be 15k left in your pot.
If you retired early at 62 at very reduced benefits of $625.00 per
month social security income and make it to 76 years old, there would
still be 22.5k in your pot.
If you wait until your 70 years old to retire, your increased benefit
amount of $1,200.00 per month and make it to 76 years old, there would
still be close to 50k in your pot.
There are many who do not make it to even 55 or 60 years old, what
comes of that money?
They make a lot of talk about baby boomers supporting the smaller
amount of people on social security, that will soon turn around to a
small amount trying to support the baby boomers.
WAKE UP PEOPLE, LESS THAN 2% of the population lives long enough to
collect more than they put into their OWN POT.
Now you wanna get really hairy? Add accrued/compounded interest to
the money you paid in to Social Security. The interest you would have
earned you don't get, it goes back into your pot. Thus the VALUE of
your POT is a minimum of 3 times greater or $360,000.00 minimum value.
Where Social Security is paying OUT only One thousand dollars per
month, it SHOULD BE paying out a MINIMUM of THREE thousand dollars per
If you put your money into a savings account instead of social
security, you would get a monthly return 3 times greater than social
If you invested in blue chips, you would get more than 10 times the
amount social security pays you.
AND in BOTH of the latter cases, whatever you didn't use would go to
your heirs, not to some politicians hip national bank.
WHY does Senator Gotsrocks need US to buy him 900 dollar coffee
makers, 600 dollar toilet seats, 9,000 dollar desk chairs?
When all we can afford after exhorbitant taxes are a 9 dollar coffee
pot, 6 dollar toilet seat and 90 dollar desk chair.
The Government is SUPPOSED to be working FOR US, not US working to
support their overly LAVISH lifestyles and wasteful spending.
Taxes need to be CUT WAY BACK to below a gross of 25 percent all
inclusive, while their still is a USA to pay it to!
Politicians MUST live on what they expect US to live on!