A few days ago someone was whining about their withholding for SS. 74 million people in the US get SS. But there are only 56 million over age 65. So over 25% is used for disability and survivor beneficiaries. This means letting you opt out and invest on your own is never going to happen.

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With your logic doesn’t it mean we can pay 75% less in SS Witholding if we elect not to receive when we are 65+, paying just for those who are disabled/survivors

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I agree that the discussion about eliminating Social Security in favor of individual retirement savings usually ignores the Survivors and Disability Insurance components, and that overpromises the benefit of eliminating the OA Insurance. When GWB tried to propose private accounts (which went over in Congress like a lead balloon), they never even had a solution for this.

My point about survivors is exactly that they only claim on one account. But that means if you get rid of the OA benefit, there will be more survivor claims. Ie the situation is even worse than your numbers claim. Because if I don’t have OA benefits and then outlive my spouse, I’ll all of a sudden become eligible to claim in a way that I wouldn’t have under today’s system if I was best off claiming on my own account the whole time.

So yes it’s not obvious how to replace all the benefits of Social Security with private accounts, nor is it obvious how you can carve things up easily.

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I think they meant that benefit may not exist when they need it.

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And the average salary in the USA is probably less than 70k with people needing to work until 72 before they retire in 2055+.

Of course ai could displace a lot of knowledge workers in the next 15 years…will we look back and think wistfully when we complained about things like withholding?

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