[quote=Eugene]
Actually, we still don’t have a funding problem with either SS or Medicare. We have PROJECTIONS that we MIGHT have a funding problem around 2040, based on certain assumptions about birth rates, life expectancies, and healthcare costs over the next 30 years.
As for the raising of the retirement age, there is a saying that you can lead the horse to the water, but you can’t make it drink. You can rise the retirement age to 70 or 75 but that will not make 69 year old workers as valuable for the economy as 25 year olds. [/quote]
OK, let me be clearer, We WILL have a funding problem 25-30 years down the road using current assumptions UNLESS we either (1) raise SS and Medicare taxes substantially, or (2) raise the retirement age. In fact, using reasonable assumptions, I believe the Trust Fund is broke by then. SS and Medicare would be illegal Ponzi Schemes if they weren’t, effectively, underwritten by the power of the Govt. to (1) tax future generations and (2) raise the age at which folks can receive benefits.
I don’t care if 70 year olds are as valuable as 29 years olds. I just want them to be able to pay their own way for that five extra years. That’s two completely different sets of expectations – and my expectations are pretty low.
