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Discussion: (2 comments)

  1. If you read the original designers blueprint for SS they foresaw in the future a period when the outlays would pay out more than the inlays took in.We are in the early phases of that drawdown, they designed the system to be able to handle this time frame.Around I think 2030-2040 when the Baby Boomers start to pass on, the inlays will start to build back up the surplus over time.Those were brilliant men who designed the SS system I trust them more than our politicians today,leave SS where it belongs in a safe haven vault not to be touched by politicians.

    1. ” I also think a lot can be done to improve private pensions to help people save more. For all the problems 401(k)s and other DC pensions have, they can be fixed – such as through automatic enrollment, use of low-cost index funds, default investment in life cycle portfolios, and the encouragement of annuitization.”

      this part is amusing to me. You can sock away pre-tax money right now through a wide variety of options including the ones named – so why don’t people do this?

      SS is not about pensions. It’s about insurance. It’s an insurance annuity… never intended to be the only source of income in retirement but has ended up that way because people had choices to save more – but did not.

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