President Bush's Plans for Social Security

The president spoke of last night in his state of the union speech on myriad of different things. He spoke of the new elected leaders in Afghanistan, the Palestinian Territories, Ukraine, and Iraq. He spoke of his new legislations to clean up the environment, such as the Hydrogen car and the "Clear Sky Act". He spoke of how or economy has rebounded from the recent recession and that the union is strong. He spoke of the advances in the medical field and the need to modernize the way medical records are filed to reduce cost and Human error. The president even paused to pay respects to our fallen heroes in Iraq fight the war on terror, He Honored the memory of Sgt.Byron Norwood by reading a letter from Sgt. Norwoods mom which stated that Byron "loved being a Marine, and how proud he was to be on the front line against terror." he then recognized the parents of Sgt. Norwood. But the Topic that I want to really look at is Social Security, Recently some of you here at Che Blog have expressed great detestment for the way social security has being heading down hill for the past few years. I will be the first one to tell you that yes it is going to Hell in a hand basket as it were. The president even recognizes the fact of what is happening he said that "In 2018, Social Security will be paying out more than it takes in. And every year afterward will bring a new shortfall, bigger than the year before. For example, in the year 2027, the government will somehow have to come up with an extra $200 billion to keep the system afloat -- and by 2033, the annual shortfall would be more than $300 billion. By the year 2042, the entire system would be exhausted and bankrupt. If steps are not taken to avert that outcome, the only solutions would be dramatically higher taxes, massive new borrowing, or sudden and severe cuts in Social Security benefits or other government programs." The president is a very smart for someone who was elected democratically; he knows there is a problem. But for every problem there has to be a solution, if you don’t believe me refer to Newton's 1st law of Motion (I know it is applies to physics but it also applies here) the president proposed this,” the best way to reach that goal is through voluntary personal retirement accounts. Here is how the idea works. Right now, a set portion of the money you earn is taken out of your paycheck to pay for the Social Security benefits of today's retirees. If you're a younger worker, I believe you should be able to set aside part of that money in your own retirement account, so you can build a nest egg for your own future. Here's why the personal accounts are a better deal. Your money will grow, over time, at a greater rate than anything the current system can deliver -- and your account will provide money for retirement over and above the check you will receive from Social Security. In addition, you'll be able to pass along the money that accumulates in your personal account, if you wish, to your children and -- or grandchildren. And best of all, the money in the account is yours, and the government can never take it away." Of course this is just the state of the union speech, this is just a mere outline of the presidents agenda for the next few years But I believe with all my heart that the president will accomplish some or all of his plans. --Neko (JoshJenkins@triad.rr.com)