A Democratic PAC ad opposing the re-election of Sen. Rob Portman (R-OH) says he takes money from Wall Street (big deal, so does Hillary and just about everyone else from both parties) and wants to privatize Social Security to the stock market. It suggests he be elected senator from Wall Street not from Ohio.
While he supported a House bill in 2005 which would have allowed anyone under age 55 to divert some of the withholdings to private investment accounts, he hasn’t supported privatization since. Incidentally, that option would have been voluntary and did not pass.1
In any event, imagine that! Trusting something other than the federal government to handle our Social Security funds – which are essentially missing under its mismanagement.
Let’s think about this. What is riskier, investing funds in the stock market which, if it crashes to zero, then everything crashes anyway and retirement becomes irrelevant OR entrusting it to the same organization (Congress) which has been a kleptomaniac with our money and without punishment for decades?
What Should be Done
Let the Feds continue to take the employers half of the Social Security contributions and hope they do something honorable with it for a change. Allow the employees to invest their halves wherever they want, as long as it’s legal, with the stipulation that there will be no government safety net if they fritter their half away.
Simple. That’s why it has only a long-shot of happening.
1 – “Campaign Ad Watch: PAC Criticizes Portman on Social Security,” by Jessica Wehrman of The Columbus Dispatch, 7/8/2016.