I am of the opinion that the USA is a failed experiment in destroying natural social structures in favor of a quick buck (profit). I won't argue with you about the early results of that.Ken wrote: ↑Tue Nov 30, 2021 3:02 pmYou might well get back your investment if you live to be 100 or wind up disabled. The program is designed to be progressive so lower income individuals get back higher benefits than high income individuals relative to their contributions. So the likely hood that you get your “investment” back depends on two things. How long you live and how wealthy you are. Personally my wife and I don’t plan to rely on Social Security. We have our own personal savings. But it is a nice backstop to have should things go haywire. And if we have money left over that is just more we can contribute to charity and so forth.nett wrote: ↑Tue Nov 30, 2021 2:53 pmHumans relied with dignity on their families, church and small community structures for 1000s of years before social security. welfare and social safety nets are especially required as industrial life disrupts basic social structures that God designed in favor of profit and efficiency. Exchanging that natural order for state sponsored welfare was much like Israel asking for a king. It was a massive mistake, but can only be seen after the fact.Ken wrote: ↑Tue Nov 30, 2021 2:25 pm
That is apparently how the law was negotiated with the Amish and conservative Mennonites back when it was first established. I assume at the time that most if not all of them were self-employed farmers or ran their own small businesses of some sort and did not tend to work as wage employees of large corporations. Opting out of social security and Medicare is a lifetime religious commitment that requires a robust church group behind you to provide equivalent alternatives. It isn’t something that someone can just wing on their own.
Procedurally, you're correct though. It has to be very difficult to opt out, otherwise most would. Our culture has very little future time preference, which is the main factor, but Social Security especially is a house of cards. Adjusting for inflation (real inflation, not CPI), I will never get the value back that I put into it.
As a society we have decided not to let our elderly die in poverty or from preventable medical issues because they are too poor to pay for it. The poverty rate among the elderly was about 50% when FDR signed the Social Security Act into law. It is now around 10%. That is largely the result of Social Security. I tend to think that is a good thing. The Golden Ages weren’t all that golden for many if not the majority.
I do wonder about eg. England or Holland before the industrial revolution, and the poverty rates there.