Huntsville, Alabama (205) 936-4010
The Libertarian Party, Washington, DC 1 800 682-1776
Craig Goodrich Candidate for US Congress,
As we get closer to the November election, both the Republicans and the Democrats will start yelling that the other one wants to "destroy the Social Security system." But anybody who takes a close look at it can see that it's already destroyed.
Compare that benefit with an ordinary private-sector investment plan. If you make $12 an hour, you pay about $70 a week into Social Security. (Of course, only half of that shows up as a deduction on your paycheck, since the employer "matches" your "contribution" - but the full $70 is really part of your wages.) Now suppose you put that $70 a week into some private investment fund yielding 8% - which is about right; stock funds have returned better than 10% historically over the long term, bond funds about 7%. Over a 40-year working career you would accumulate more than a million dollars. If you started at age 20, you could retire at 60 with a dividend income of $80,000 a year forever, and be able to leave the million dollars to your grandchildren (if the politicians didn't take it all in inheritance taxes). Even if you decided to chuck it at 50 and go fishing, you'd have $450,000 in the bank and an income of $36,000 a year - enough to buy a pretty nice boat, anyway. And even at less than $5 an hour your whole career, you could have half a million by age 65.
Now, this may sound like more pie-in-the-sky from some politician. It isn't; it's just following through with the advice your grandmother gave you when you left school and got your first job: "put a little aside every week for a rainy day and for your old age." Your grandmother was right! Go check these figures with your banker or insurance agent.
So the Republicans and the Democrats will fight and argue over which one can "save" a system that takes your million dollars and gives you back a meager subsistence income, while the spaced-out Marxists in the Clinton White House fret that American industry isn't creating enough jobs because the economy isn't accumulating enough capital. How can the economy accumulate capital when all the money that a working person could put into savings gets taken by the politicians and poured down a rathole?
The Social Security system can't be saved, and it's not worth saving. Fiddling and diddling taxes and benefits won't work. What we have to do is cash out the benefits for those who currently are depending on it, and then end it. Completely and forever, before it steals the future from still another generation. Our Libertarian Presidential candidate, Harry Browne, has a plan for doing exactly that - a program that both makes sure current Social Security recipients continue to receive their full benefits and removes the Social Security burden from current and future working Americans.
We must get rid of this system, which is defrauding retirees, crippling the working man financially, and holding back the growth of the economy. Every American is born with a million-dollar lottery ticket he can cash in after his working career. The politicians in Washington have stolen that ticket. Only the Libertarian Party will do what has to be done.
Your representatives in Washington - Republicans and Democrats - will, once again during this 1996 campaign season, start talking about "saving the Social Security System", using rhetoric to frighten retirees and convince you that only your generous Federal Government can make sure you don't spend your declining years starving and homeless in the gutter, begging passersby for scraps of bread. They will take care of you by taking a 15% payroll tax out of your wages for your working career, then paying you a pension (currently about $15,000 annually maximum) when you retire. What a wonderful deal!
Or is it? Take a few minutes to see what your financial situation would be when you retire if you could decide how to invest your money, instead of turning it over to Washington bureaucrats:
This table shows the accumulated capital resulting from a deposit of $10 per week over various periods of years at common average rates of return. Consult a trusted financial advisor for details. Dollar accumulations are rounded to the nearest $500.
To use this table:
Surprised? Should you be surprised that a government that can't keep your streets safe without destroying your rights, can't help the poor without destroying the family -- and can't even balance its own budget, though it takes almost half of your income -- can't manage your retirement funds either?
Government doesn't work. Freedom does.
Only the Libertarian Party is pledged to stop stealing your future. Call us.
This educational message is provided by
Goodrich for Congress
Elkmont, Alabama 35620