Baby Boomers: Repent Partisan Politics Or Bend Over for Uncle Sam

February 8th, 2010 by Rich

With illusory COLA benefits.

Like New and Classic Coke, the 2010 COLA is definitely not the 1980 COLA.

In no way do current COLAs reflect the actual cost of living, currently growing at 10% due to government borrowing and spending.

The cost of living is another name for defacto government theft described by Black economists Thomas Sowell and Walter Williams.

http://www.wnd.com/index.php?fa=PAGE.printable&pageId=41929


If we did not have increasing government costs, the cost of living would be steadily declining due to increases in productivity.

See Shadowstats for the differences in government revised COLAs.

http://www.shadowstats.com/alternate_data/inflation-charts

The Social Security Trust began under corporate lawyer President Franklin Delano Roosevelt as a 3% tax for a safety net. Today Americans depend on Social Security for more than 90% of their retirement income.

Like the income tax with mandatory withholding under FDR, the 3% Social Security Tax was promised by the politicians of the day to go no higher.

In fact, under President Franklin Delano Roosevelt, income taxes went as high as 94% and still did not eliminate debts 120% of the economy.

http://www.taxfoundation.org/publications/show/151.html

Note the widely held misconception that higher taxes and debts saved the economy. Only private jobs, savings and productivity can do that. Government does not create wealth.

http://zfacts.com/p/318.html

More people are beginning to understand natural demographic generational cycles with decadal seasons like the Jubilee Spring, Summer, Fall and Winter that we are now in.

The Social Security Trust Tax idea was borrowed by FDR and his advisers from the plank of Socialist candidate Norman Thomas, a Princeton Presbyterian Minister who ran for President six times from 1928 to 1948.

http://en.wikipedia.org/wiki/Norman_Thomas

It was felt by FDR and his advisors they might win by adopting the marginal ideas of Thomas and the Socialist Party as more and more Americans realized they were had by the plutocrats.

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This entry was posted on Monday, February 8th, 2010 at 6:32 pm and is filed under Financial Planning. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

One Response to “Baby Boomers: Repent Partisan Politics Or Bend Over for Uncle Sam”

  1. Rich Says:
    February 9th, 2010 at 3:28 pm

    USA Today just quoted Stephen Goss, chief actuary for the Social Security Administration:
    “Things are a little bit worse than had been expected,” he said, “Clearly, we’re going to be negative for a year or two.”
    Seems declining mandatory FICA payroll taxes, earlier retirements and 10% disability brought the day of reckoning 7 years earlier than expected.
    Hint: This is not inflationary, but default-driven deflation…
    Aloha Regards*Rich

 

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