Tuesday, January 17, 2012

Questions about Social Security?

Aside from the racial comment your thesis is incorrect from the get go. Social Security taxes are not separate from ordinary income taxes. There is no 'separate' fund. There has been several Supreme Court rulings on this. Should the government default the law is totally clear on this subject. Bond holders get paid first, then contracted payments....such as paying for new submarines etc. After that comes Social Security and ALL other payroll expenses...even for the military. Way back in the day taxes were suppose to pay all government expenses and transfer payments. Bonds were issued to borrow money ahead for capital improvements. Then came a mive military buildup that wasn't paid for by taxes. The difference was made up by borrowing foreign money...something never before done in American history. Anyone who suggested 'gutting the military' was in big trouble. Anyone who suggested a 'war tax' to pay for all of our current wars was likewise shot down. Like your mom I also draw a S/S check...in fact in my town a large number of people either draw a S/S or military retirement check or both. Others draw a state pension...also in danger of default depending on the state. The right wing radio dummies and FOX 'News' has convinced a lot of people that the reality of this situation isn't 'reality' at all.....actually it's worse than you might imagine. 'Low taxes' and a first world country with a bloated military simply cannot co-exist. Believe me....you can't live in Beverly Hills where I grew up on a budget more in line with East LA. That's what we've been trying to do. Bottom line...ALL of us are going to have to chip in more and get less. We're the folks at the Alamo now. Either we 'cross the line' and surrender or we fight.....,with cash money! We may still lose, but we're supposed to be Americans....we're obligated to try!

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