On-Topic 47% of Americans Pay No Federal Income Tax

[Benvolio]

It is all a bookkeeping entry, but it is a separate fund, nevertheless.

 

[HenryReardon]

It is all a bookkeeping entry, but it is a separate fund, nevertheless.

Technically true, but when you state it that way it makes the ignorant think there's actually an account sitting out there with real money it.

 

[Kulindahr]

Technically true, but when you state it that way it makes the ignorant think there's actually an account sitting out there with real money it.

LOL

No kidding! But it's too bad there isn't -- Congress would have had to face up to its fiscal irresponsibility a long time ago.

 

[opinterph]

There hasn't been a separate fund since the sixties or thereabouts, when the Democrats merged the SS trust fund into the general revenue fund in an attempt to hide their war costs.

After a number of changes, the trust fund is again separate and “off-budget,” except for the costs of its administration — which are subject to the regular budget appropriations process.

The Social Security Trust Funds and the Federal Budget​

 

[Kulindahr]

After a number of changes, the trust fund is again separate and “off-budget,” except for the costs of its administration — which are subject to the regular budget appropriations process.

The Social Security Trust Funds and the Federal Budget​

And what's in it is a stack of IOUs from Congress.

 

[Benvolio]

And what's in it is a stack of IOUs from Congress.

That is true. But the funds have to somewhere and in some form. Investing in government obligations is the obvious choice. There was a time when they were considered safe. But what alternative is there?

 

[Kulindahr]

That is true. But the funds have to somewhere and in some form. Investing in government obligations is the obvious choice. There was a time when they were considered safe. But what alternative is there?

Raise taxes to the patriotic levels Eisenhower understood were necessary, freeze government spending for a dozen years, sell off all government functions that could be done by the private sector, sell unattached small parcels of BLM and national forest land to farmers and lumber companies with the proviso that they remain farming and lumber lands.... and leave the money sitting as money to provide funds in banks for loaning to spur business, not political games.

 

[Benvolio]

Raise taxes to the patriotic levels Eisenhower understood were necessary, freeze government spending for a dozen years, sell off all government functions that could be done by the private sector, sell unattached small parcels of BLM and national forest land to farmers and lumber companies with the proviso that they remain farming and lumber lands.... and leave the money sitting as money to provide funds in banks for loaning to spur business, not political games.

When you say " money sitting as money" what do you mean? As paper currency? In commercial banks, i.e. a bank iou rather than a US iou? As I said, it has to be somewhere, in some form. "Sitting" on the books of the US is just a US debt. Where do you want it to "sit"?

 

[Kulindahr]

When you say " money sitting as money" what do you mean? As paper currency? In commercial banks, i.e. a bank iou rather than a US iou? As I said, it has to be somewhere, in some form. "Sitting" on the books of the US is just a US debt. Where do you want it to "sit"?

In CDs, so the money is available to the public to borrow -- not in IOUs, which Congress has never shown much inclination to do anything about except bury them with more.

The US should have no debt, even to 'itself'.

 

[JayHawk]

Yet we don't even have paper versions of IOUs anymore. It is all electronic and imaginary

 

[Kulindahr]

Yet we don't even have paper versions of IOUs anymore. It is all electronic and imaginary

If the congresscritters who voted to borrow that money had to sign IOUs for the money, one dollar at a time.....

 

[Benvolio]

In CDs, so the money is available to the public to borrow -- not in IOUs, which Congress has never shown much inclination to do anything about except bury them with more.

The US should have no debt, even to 'itself'.

A CD issued by whom? A CD is a debt, usually from a bank to a depositor. Do you want CDs issued by the government to the SS fund? Calling it a CD, a note, a bond, etc is a distinction without a difference.

 

[Kulindahr]

A CD issued by whom? A CD is a debt, usually from a bank to a depositor. Do you want CDs issued by the government to the SS fund? Calling it a CD, a note, a bond, etc is a distinction without a difference.

A CD is money in a bank. An IOU from politicians is just paper, worth no more than the integrity of future politicians.

Letting Congress borrow from the fund just encourages them to spend.

 

[Benvolio]

A CD is a debt owed by the bank to the depositor. Are you saying you think the SS fund should be deposited in commercial banks?

 

[Kulindahr]

A CD is a debt owed by the bank to the depositor. Are you saying you think the SS fund should be deposited in commercial banks?

I'd prefer in credit unions and small-to-medium banks -- nothing rated "too big to fail".