LOCKED: Political memes thread

posted by ernest_t_bass

I just did the math, this guy is 100% dead on with the math...theft.

SOCIAL CONTRACT!!!

posted by jmog

I just did the math, this guy is 100% dead on with the math...theft.

I've done the math multiple times; you could live better and then leave the vast majority of the principle to your heirs.  

Beyond theft. 

posted by jmog

I just did the math, this guy is 100% dead on with the math...theft.

What's sad is there isn't a lot of "waste" with SS - the gubmit just collects money and redistributes it.  But as his math shows, you get a horrible return if you're a "giver" instead of a "taker".

His math also shows someone who maxes out the SS contribution over their 35-yr window.  Maxing out SS I think puts an individual @ top-5% of earners, so it's a pretty impressive accomplishment to do that every year for 35 years.  Clearly already a multi-millionaire, and most will read that and think "gee, I wish I made enough money to pay $600k in social security taxes".

But LOL only government could create math like this.  The real hidden crime in all this is a perhaps perfect example of how govt actively prevents the building/accumulation of generational wealth.  Yes, someone in this scenario should be worth several million...and yet that "social contract" has cut his wealth by as much as 50%.

Ss is a shit show. I can’t wait to have paid into it for 20+ years and somehow not see it. If I do see it, I already planned to not have it, so it’s just a plus. It’s only for poor planners. Just let me have it now. 

posted by iclfan2

Ss is a shit show. I can’t wait to have paid into it for 20+ years and somehow not see it. If I do see it, I already planned to not have it, so it’s just a plus. It’s only for poor planners. Just let me have it now. 

I definitely bought into the "it won't be there for you when you retire" meme, but now seems clear to me I'll get most of my benefit. 

Gubmit will just print the money.  Even if they let inflation de-value your benefits, I don't think it's going to amount to more than 15% (after netting CPI adjustments/increases).  Will they implement means-testing?  Maybe, but mostly avoidable at least until you get hit with mandatory distributions of 401k at age 72.

But having to pay taxes on Social Security checks will be truly evil.  Wish everyone could experience writing a quarterly check to the IRS on self-employment income, including the full 15.3% FICA.  Completely different perspective sending a five-figure check to the govt instead of receiving one, like most people, when they file their taxes in April.

An even greater theft if you get run over by a Mack truck in your late fifties.

posted by majorspark

An even greater theft if you get run over by a Mack truck in your late fifties.

And the govt will tax your heirs for the insurance proceeds, too!

posted by gut

Maybe, but mostly avoidable at least until you get hit with mandatory distributions of 401k at age 72.

I’m 68 and was just made aware of this a year ago. 

Also, I got another call today from the SSA about my impending arrest on a circumstance against me. 🤦

posted by BRF

I’m 68 and was just made aware of this a year ago.

Not sure what your financial situation is, but maybe look into backdoor Roth conversions.  Basically, you convert taxable 401K distributions into non-taxable Roth IRA.  You'll pay ordinary rates on the conversion amounts, and also have to wait 5 years before taking IRA distributions.

Ideally, people would look into this in those years [hopefully] between retiring and collecting SS.  You have to work thru the math, but potentially you could still save yourself thousands in taxes.  Might also explore this strategy filing separate returns for you and your wife.

posted by gut

What's sad is there isn't a lot of "waste" with SS - the gubmit just collects money and redistributes it.  But as his math shows, you get a horrible return if you're a "giver" instead of a "taker".

His math also shows someone who maxes out the SS contribution over their 35-yr window.  Maxing out SS I think puts an individual @ top-5% of earners, so it's a pretty impressive accomplishment to do that every year for 35 years.  Clearly already a multi-millionaire, and most will read that and think "gee, I wish I made enough money to pay $600k in social security taxes".

But LOL only government could create math like this.  The real hidden crime in all this is a perhaps perfect example of how govt actively prevents the building/accumulation of generational wealth.  Yes, someone in this scenario should be worth several million...and yet that "social contract" has cut his wealth by as much as 50%.

Most people start working in their early 20s and don’t retire until 65+ that’s 45 years, not 35 that you pay into the system.

Someone making $20hr will contribute $600k in 45 years with  their employers numbers too.

posted by jmog

Most people start working in their early 20s and don’t retire until 65+ that’s 45 years, not 35 that you pay into the system.

Someone making $20hr will contribute $600k in 45 years with  their employers numbers too.

You pay FICA on every dollar you earn, starting as a teenager working part-time.  But your benefit is calculated only off your top 35 years of contributions.

And, again, your math is way off.  A person making $20 per hours would contribute less than $250k (INCLUDING the employer share, ignoring inflation) over 45 years.

posted by gut

You pay FICA on every dollar you earn, starting as a teenager working part-time.  But your benefit is calculated only off your top 35 years of contributions.

And, again, your math is way off.  A person making $20 per hours would contribute less than $250k (INCLUDING the employer share, ignoring inflation) over 45 years.

So your math and assumption is that the person got no raise in 35 years? Come on, use an ACTUAL realistic assumption.

If you use 3% raise per year, which is typical and actually low as that is including no promotions at all, just same job and cost of living increases...that's $500,000 contributed from 20 to 65 for someone who starts at $20/hr.

If we assume some promotions or other raises and that puts that average wage increase per year at 4% the number is $654,000 contributed.

You are that hell bent on trying to prove me wrong that you pulled a completely non realistic case rather than realistic. How many people do you know that work for 45 years and don't get yearly raises?

My dad is nearing that age of 65, he makes $35/hr now, when he was 20 he made $7/hr full time (about 5x what he made at 20).

I have been working for 20 years and I make 3x what I did at 20 already. 

My dad works a union hourly job, I am a salaried engineer (for comparison). 

Come on, be smarter than that.

I literally said that a person making $20/hr in their 20s will contribute $600k (with their employer contributions) by the time they are 65. That is factual information you tried to dispute with some asinine "never get a raise" fictional person.

I have never met anyone who worked from their 20s to 60s, the whole time, and didn't make WAY more in their 60s than they did in their 20s.

You hate me so much you made up some BS scenario in your mind to try to prove me wrong, when in fact I was right.

I can share the spreadsheet if you can't do the math, I will copy/paste the math here for you (yes, I am boardering on ad hominem and I know that, but you are getting ridiculous, almost as bad as SnL was).

OMG Memes.