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Social Security vs Savings?


ICE

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What are your thoughts? I am not so much in favor of "savings" per say. I would rather have the option of putting it into investments instead.

 

BTW.....The guy that came and did our 401K meeting told us the long tale of how SS was never meant for any of us blah blah blah. he said with the advances in medical technology these days, a child born today would have an average life span is over 100 years.

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What are your thoughts?  I am not so much in favor of "savings" per say. I would rather have the option of putting it into investments instead.

 

BTW.....The guy that came and did our 401K meeting told us the long tale of how SS was never meant for any of us blah blah blah.  he said with the advances in medical technology these days, a child born today would have an average life span is over 100 years.

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Over 100 years? Talk about pulling numbers out of your butt. A White Female has the longest life expectancy, at around 80 years according to the US Government.

 

http://www.cdc.gov/nchs/fastats/lifexpec.htm

 

White males, and then members of minorities fall off from there. Bills fans are somewhere lower on the list as well...

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Over 100 years?  Talk about pulling numbers out of your butt.  A White Female has the longest life expectancy, at around 80 years according to the US Government.

 

http://www.cdc.gov/nchs/fastats/lifexpec.htm

 

White males, and then members of minorities fall off from there.  Bills fans are somewhere lower on the list as well...

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Ok again did 'I' say it? No. I just passed along some stats the old 401K guy said. Christ sakes folks...

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Ok again did 'I' say it? No.  I just passed along some stats the old 401K guy said. Christ sakes folks...

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Didn't say "you" were pulling those numbers out of your butt; no offense intended there.

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What are your thoughts?  I am not so much in favor of "savings" per say. I would rather have the option of putting it into investments instead.

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If everything else stayed equal, $1 in the stock market today has a 100% chance of increasing in the stock market if it stays there for 20 years or more. I'm not sure about the Social Security "lock box", but I think for every $1 that goes to that, exactly $1 comes out sometime in the future and I believe it is also worth less because of any inflation that happened since the $1 went in.

 

And we all know in reality, the "lock box" was busted open long ago and only contains IOUs because that money has been spent a long time ago.

 

You might want to study the average number of years that it takes for the stock market to double. At 5% increase per year, it takes 15 years to double. At 8% increase per year, it takes a little over 9 years to double.

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Didn't say "you" were pulling those numbers out of your butt; no offense intended there.

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The quote was about a child born today, not the current life expectancy. Those numbers may be pulled from a butt, but the current numbers have little to do with future numbers.

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Over 100 years?  Talk about pulling numbers out of your butt.  A White Female has the longest life expectancy, at around 80 years according to the US Government.

 

That figure is the national average - it includes all living women today (people born before today also.) People born today will live longer then someone born in 1980 or 1960 or 1940 etc. so their average lifespan will be higher then the national average.

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You might want to study the average number of years that it takes for the stock market to double.  At 5% increase per year, it takes 15 years to double.  At 8% increase per year, it takes a little over 9 years to double.

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aka rule of 72

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Saving $2000 per year from age 18 to age 67 with a 10% annual return will give you a nest egg of over $2,500,000.00  Or you could pay the government and hope there's money there.

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I would gladly take a deal right now where they get to keep my lifetime of contributions for the right for me to opt out from here on out and invest my future earnings myself. I'm 31.

 

The longer it goes on, the more people that will get burned.

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I would gladly take a deal right now where they get to keep my lifetime of contributions for the right for me to opt out from here on out and invest my future earnings myself. I'm 31.

 

The longer it goes on, the more people that will get burned.

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I think you'd find ALOT of takers if that were offered. Hence the reason it won't be.

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