Welcome to Higher Taxes

It’s apparently unpleasant:

American workers are opening their first paychecks of the year and finding an unpleasant surprise: The government’s take has gone up.

A temporary cut in Social Security withholdings gave Americans hundreds of extra dollars to spend over the past two years. But Congress allowed that break to expire during the wrangling . . . → Read More: Welcome to Higher Taxes

Cosmic Justice

In the realm of inter-generational warfare:

According to government data, compiled by the Treasury Department at the request of SmartMoney.com, the federal government is withholding money from a rapidly growing number of Social Security recipients who have fallen behind on federal student loans. From January through August 6, the government reduced the size of . . . → Read More: Cosmic Justice

Dependency

Some hack is complaining about how people who were promised that the government would take care of them are relying on the government to take care of them:

How much do senior citizens rely on Social Security? Even more than you might think. A new study finds that more than 46 percent of Americans . . . → Read More: Dependency

Models and Assumptions

Here’s a waste of analysis:

A much better alternative is for the household to “buy” an annuity from Social Security. They can make this “purchase” by using their savings to pay current expenses and delaying claiming to get a higher monthly benefit at an older age. The savings used is the “price” and the . . . → Read More: Models and Assumptions

More On The Ethics of Receiving Government Benefits

From Think Markets:

In addition Mr. Krugman cites evidence suggesting large percentages of Social Security and Medicare beneficiaries are confused about their use of these government programs. They don’t seem to think they’re getting handouts.

Maybe that’s because they’re in fact not getting handouts. As they were reminded every time they looked at their . . . → Read More: More On The Ethics of Receiving Government Benefits

The Ethics of Receiving Government Benefits

James Kwak:

Many liberals like to point out the apparent hypocrisy of the people featured in the article, who rail against big government, demand lower spending, and simultaneously rake in benefits from the federal government that they hate. The central figure in the article, Ki Gulbranson, works hard yet has barely enough money to . . . → Read More: The Ethics of Receiving Government Benefits

Paragraphs to Ponder

From Walter E. Williams:

I believe that a person who is 65 years old and has been forced into Social Security is owed something. But the question is, Who owes it to him? Congress has spent every penny of his Social Security “contribution.” Young workers have no obligation to be fleeced in order to . . . → Read More: A Social Security Fix

Social Security Thy Name is Ponzi

I’m not sure why so many are upset with Rick Perry calling Social Security a Ponzi scheme. I said the same thing way back in March, but the media hardly seemed to care. Many economists have weighed in on this debate, and Walter Williams provides a decent summary of their sentiments:

Aside from these . . . → Read More: Social Security Thy Name is Ponzi

You Can Always Count On Politicians

To lie, that is:

President Obama on Tuesday said he cannot guarantee that retirees will receive their Social Security checks August 3 if Democrats and Republicans in Washington do not reach an agreement on reducing the deficit in the coming weeks.

“I cannot guarantee that those checks go out on August 3rd if we . . . → Read More: You Can Always Count On Politicians

Unhappy Dependence Day

In my childhood and teen years, “going to the mall” meant going to the grand expanse stretching from the United States Capitol building to the Lincoln Memorial, with the Washington Monument in the center, bordered by the Smithsonian Institution’s museums and by federal government buildings along Constitution Avenue on the north, and Independence Avenue . . . → Read More: Unhappy Dependence Day