Article

2013-03-26 Economy

Disability Insurance: America's $124 Billion Secret Welfare Program

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Posted by GolfBravoUSMC 2013-03-26 12:13|| || Front Page|| [8 views ] Top

#1 The Tragedy of the Commons.

In economics, the tragedy of the commons is the depletion of a shared resource by individuals, acting independently and rationally according to each one's self-interest, despite their understanding that depleting the common resource is contrary to the group's long-term best interests.

Posted by Procopius2k 2013-03-26 13:36|| 2013-03-26 13:36|| Front Page Top

#2 Lots of finger pointing. The real issue is the graying of our society. The boomers are getting old, entitlements will double in the next 10 years, it will blow our nation's budget out the roof. Instead of pointing finger and blaming the left or right, we need to figure out a realistic way of dealing with this large force of people who are falling off of the tax rolls and onto entitlement programs.

Posted by 49 Pan 2013-03-26 14:18|| 2013-03-26 14:18|| Front Page Top

#3 49Pan: absolutely, agreed, and as someone will is gray and will one day be old (hey, it could happen), my suggestions are --

-- move (in steps) the SS full pension age from 66 to 70
-- adjust the other pension ages appropriately
-- fix the inflation COLA that over-increases benefits
-- let elder worker earn what they want and tax SS

That would be a start for SS. For disability, the only solution is to clamp down. Disability should be for the disabled.

Posted by Steve White 2013-03-26 14:57|| 2013-03-26 14:57|| Front Page Top

#4 Social Security is not an entitlement, it is insurance as in FICA (Federal Insurance Contributions Act) which is purchased by wage earners. The fact that it was plundered by a crooked, thieving government and turned into a massive Ponzi scheme and vote getting tool should not be lost on anyone.

Posted by Besoeker 2013-03-26 15:24|| 2013-03-26 15:24|| Front Page Top

#5 Social Security was a Ponzi scheme from the git go. Look what happened to Barry Goldwater when he said that 50 years ago. Now the reality is setting in.

Posted by Nimble Spemble 2013-03-26 15:31|| 2013-03-26 15:31|| Front Page Top

#6 Furthermore, if you would like to know how the Social Security Administration has turned into a "Secret Welfare Programme", I recommend you visit your local Social Security office and see who sits on the other side of the counter.

If you would like to know why 18% of the nation's citizens comprise 38% of all Federal jobs, [such as those found in your Social Security Office]visit your local Federal Civilian Personnel Office (CPO).

If you would like a glimpse into the future of the "The Patient Protection and Affordable Care Act (PPACA), more commonly referred to as "Obamacare", return to para's 1 and 2 above.

Posted by Besoeker 2013-03-26 15:44|| 2013-03-26 15:44|| Front Page Top

#7 Steve

SS COLA

2010 0.0%
2011 0.0%
2012 1.7%

Tax on SS

file a joint return, and you and your spouse have a combined income* that is

between $32,000 and $44,000, you may have to pay income tax on up to 50 percent of your benefits

more than $44,000, up to 85 percent of your benefits may be taxable.

*Note:
Your adjusted gross income
+ Nontaxable interest
+ ½ of your Social Security benefits
= Your "combined income"

Posted by GolfBravoUSMC 2013-03-26 15:49|| 2013-03-26 15:49|| Front Page Top

#8 For those of you with high earnings in retirement, this post may be of interest. Even if you aren't GBUSMC's bracket, it may be of interest.

Posted by Nimble Spemble 2013-03-26 15:54|| 2013-03-26 15:54|| Front Page Top

#9 You wish to get this country out of debt and take care of the elderly, here are some starters:

-- Stay out of meaningless middle-eastern conflicts.
-- Limit unemployment insurance to 90 days.
-- End food stamps and hand out canned food and day-old bread through the local church or food pantry.
-- Establish a 10% Federal Income Tax for all earners, no exceptions, no exclusions and have it sent directly to the US Treasury.
-- Disestablish the Departments of Education, Agriculture, DOE, BATF, IRS, and Homeland Defense.
-- End foreign aid.
-- Disestablish Fannie and Freddie.
-- End the Federal Student Loan Program.
-- End Federal Public Housing assistance programs.

Posted by Besoeker 2013-03-26 15:59|| 2013-03-26 15:59|| Front Page Top

#10 Nimble:

Golf Bravo & Kilo Bravo are using the 66/70 strategy. Kilo is drawing Spouse Benefit (1/2 mine) until she reaches 70, then she will change to her own benefit.

Posted by GolfBravoUSMC 2013-03-26 16:10|| 2013-03-26 16:10|| Front Page Top

#11 Besoeker, you heartless bastard!

/sarcasm

Posted by Rambler in Virginia 2013-03-26 16:11|| 2013-03-26 16:11|| Front Page Top

#12 NS:

Without even discussing spousal benefits or the meager cost of living increases, had I not taken FICA at age 62, I would have forfeited about $19,000. per year waiting until age 66 to start drawing full FICA benefits.

From age 62 to 66 that equates to a rough total of some $ 80,000. dollars. At age 66 I would have been eligible for an additional (again roughly) $ 410. per month. The 'make up' or break even point would have been age 62 plus 200 months or about age 80.

You really have to do the math.

Posted by Besoeker 2013-03-26 16:15|| 2013-03-26 16:15|| Front Page Top

#13 If you want an investment tip on your Social Security dollars, buy some HCI or OHI. They are healthcare REITs (old folks homes), which pay a buttload of dividends and have phenomenal annual growth rates which will likely continue throughout the boomer era (next 25-30 years).

Posted by Besoeker 2013-03-26 16:30|| 2013-03-26 16:30|| Front Page Top

#14 Well now Besoeker.... on most of this but let's be honest here.

Disestablish the Departments of Education, Agriculture, DOE, BATF, IRS, and Homeland Defense.

No sir, providing for the national defense and providing good farm-market roads are near the very top of what an efficient government is all about. The most important one being of course, the Peanut Allotment.

Sirs: I remain yours

/Walter George
/Carl Vinson
Committee of 1st damn things first.

Posted by Shipman 2013-03-26 17:08|| 2013-03-26 17:08|| Front Page Top

#15 You know, it kinda hurts my finger sometimes when I hit the keyboard a certain way...OUCH! Can I get disability?

Posted by Ebbang Uluque6305 2013-03-26 17:21|| 2013-03-26 17:21|| Front Page Top

#16 $124 billion seems low. I just ran the numbers from a ZH article:

14 million receiving $13K / yr = $182 billion

PLUS - Healthcare costs for the same 14 million disabled @ $300 billion = total of $482 billion dollars.

There's about 1/2 the Federal deficit right there.

Posted by Raj 2013-03-26 18:16|| 2013-03-26 18:16|| Front Page Top

#17 A good start on the disability thingy would be to move the adjustors, who determine benefits and amounts, from the VA over to SSA.

Posted by Procopius2k 2013-03-26 18:23|| 2013-03-26 18:23|| Front Page Top

#18 slightly OT: disability retirement is almost a sacrament among Fire and LEO. Tax reasons

Posted by Frank G 2013-03-26 19:48|| 2013-03-26 19:48|| Front Page Top

#19 The family shown is driving a Volkswagen, how American.

Posted by Redneck Jim 2013-03-26 22:21|| 2013-03-26 22:21|| Front Page Top

23:25 CrazyFool
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