T
Trader
Guest
Since we are so close to my first tax payment since becoming a Social Security recipient, I will answer this. I paid Social Security taxes for almost 40 years and am now getting a very small return. The return is less than a quarter of what the same amount of money put into my IRA’s provides for less than 30 years of contributions, and I had to pay taxes on the Social Security payments I got last year. Even more important to me, I have ownership on my IRA’s but not SS. I have the possibility of passing on some of my savings to nieces and nephews when they need it. I can live OK without SS payments, but I would be a millionaire without all the taxes I paid into a system that was known to be unsustainable when I was still in high school. It just happens that the after tax return on working hard to manage my own investments is higher than working for someone else.Are you against social security recipients who are too lazy to work not getting taxed?
The meager return on our SS taxes is the cost of letting government do for us what we should do for ourselves. High FICA taxes work against the possibility of low income workers saving for their own retirements.