Baby boomers are becoming homeless at a rate ‘not seen since the Great Depression’

[SpadeMarlowe]

@Gaius

@SpadeMarlowe

@Gaius

@SpadeMarlowe

Easy fix is that the Gov. cuts spending and stops robbing Paul to pay Peter.

Ummm, yes. That’s the obvious fix.

Although I was thinking in different terms.

By all means dear, I am not good at this.

Oh but you are.
while the rest of us get mired down in gobble-gook, you manage to find the key element, the core of the discussion.

Thank you kind gent.
I am impressed with your knowledge of these things that’s why I hang around this topic. But I wont be a distraction any more.

[Samm]

@e7alr

Would love to see a graph showing when the program crossed from generating excess contributions in relation to benefit obligations, to deficit contributions in relation to benefit obligations.

Is this what you are looking for?

[floydefisher]

So you think doubling and trippling down on the same failed policies that created this disaster will somehow prevent it?

[Gaius]

In the beginning of 2022, the SS trust fund had a balance of $2.85t

• Because SS lends out its money at a special low rate that $2.85t earned only 2.4% interest (approx ~$68b)

That year newly-purchased regular 30-year bonds paid 2-4% depending on the month bought.

• Had the trust fund been allowed to earn that year’s average 30-year rate it would have earned over $90b.

But even that is calculating on the low side. The trust fund has been around a long time. So the 2022 rate is only partially relevant.

• Had the trust fund been investing in regular long-term bonds all along it would have earned closer to $142b that year.

$68b vs $90b vs $142b
.
.
.
Congress chose to give itself an ultra low-rate loan and then say “Oh no! The trust fund is running out of money. We have to means test it. We have to raise the retirement age.”

Had the (ahem) “Trustees” simply invested it in 30 treasuries it would have earned 3.2%.

[Auto129]

No policy created this disaster. These are people older than 50 years old. After 30 adult working years to make choices and take opportunities, they own all the responsibility for their own financial instability.

But that doesn’t mean they shouldn’t be helped.

[Auto129]

I doubt anyone actually wants to step over an exponentially increasing amount of elderly homeless people. Inaction is way too expensive of a luxury, in my opinion.

[WuWei]

@Auto129

No policy created this disaster. These are people older than 50 years old. After 30 adult working years to make choices and take opportunities, they own all the responsibility for their own financial instability.

But that doesn’t mean they shouldn’t be helped.

Recessions, depressions, medical catastrophes, hysteria shutdowns, divorce (men)

[Auto129]

None of those are excuses. No other generation expects or expected to live a life untouched by those hardships.

[Jezcoe]

@Samm

@Jezcoe

@Samm

@Jezcoe

@Samm

“Safety net” is a euphemism. It’s a supplemental income insurance plan.

A distinction without a difference.

Yes, one term with no real meaning vs. one with clear meaning.

How so?

Think about it Einstein.

I understand that you have no real argument about this.

[Jezcoe]

@e7alr

@Jezcoe

@e7alr

The laws of math and actuarial calculations apply to government spending on programs expected to act as insurance/annuities. If that is either too difficult, or too unsettling, I understand.

Those rules apply to private companies that are designed to produce a profit.

Government is not expected to make a profit.

Talk about being out in left field. No one is talking about profitability. The issue is ability of the program to sustain meeting benefit obligations. As it was originally designed the program intentionally generated substantial excess collections, which by design were made available exclusively to the treasury. It was also, based on its original actuarial calculations, meant to always have monthly collections exceed the cost of monthly benefit obligations. The problem was life span and the ratio of contributing workers to active beneficiary recipients didn’t remain constant.

You are the guys that are viewing a social safety net by a sovereign nation like it is a private insurance plan… not me.

My entire adult life, everyone has been talking about the slow train wreck that will cause Social Security to collapse. It isn’t going to collapse. It will take on debt… but it isn’t going to collapse.

It is almost like there is a faction that wants it to fail so it will be privatized… but that would be being conspiratorial.

[WuWei]

@Auto129

None of those are excuses. No other generation expects or expected to live a life untouched by those hardships.

Not excuses. Things that happen that destroy the best laid plans of mice and men.

[biggestal99]

@e7alr

Those with private sector pensions need to hope the pension doesn’t collapse and they end up in the PBGC.

dont think there will be any problem with AT&T, been around funding pensions since 1882.

weathered many a financial crisis.

Allan

[biggestal99]

@SpadeMarlowe

It was Obama who put Millions on SS Disability so they don’t die from hunger during his rein.

and lowering dramatically under the Biden Admin.

Allan

[Gaius]

@Auto129

I doubt anyone actually wants to step over an exponentially increasing amount of elderly homeless people. Inaction is way too expensive of a luxury, in my opinion.

Glad we are getting back to the topic of homeless.

The easiest (only??) way to fix the homeless problem is to stop creating them.

[Gaius]

@Jezcoe

You are the guys that are viewing a social safety net by a sovereign nation like it is a private insurance plan… not me.

No we view a trust fund raided to provide low-interest loans as exactly what it is (a scam, a honey pot) regardless of whether the raider is a for profit corporation or a the teamsters union or the government.

Greed and theft are greed and theft.
It matters not if the thief wants to buy a car or buy votes.

*A:He stole from us!"
B:"“That’s okay he is from the government. He stole from you to further his political agenda.”

[Jezcoe]

@Gaius

@Jezcoe

You are the guys that are viewing a social safety net by a sovereign nation like it is a private insurance plan… not me.

No we view a trust fund raided to provide low-interest loans as exactly what it is (a scam, a honey pot) regardless of whether the raider is a for profit corporation or a the teamsters union or the government.

Greed and theft are greed and theft.
It matters not if the thief wants to buy a car or buy votes.

*A:He stole from us!"
B:"“That’s okay he is from the government. He stole from you to further his political agenda.”

The government giving loans to itself.

What is the value of a debt that the American People lend to themselves and owe to themselves?

[Gaius]

No. The government setting up what is ostensibly a mandatory retirement plan,
but is in actuality a honey pot to give low interest loans to buy re-election votes.

Picture:
Third world dictator sets up a phony pension plan.
Raids it. Uses the money to buy stuff for his political supporters

The difference between that and this?
You refuse to see it when it happens in a first world country

[Jezcoe]

@Gaius

No. The government setting up what is ostensibly a mandatory retirement plan,
but is in actuality a honey pot to give low interest loans to buy re-election votes.

Picture:
Third world dictator sets up a phony pension plan.
Raids it. Uses the money to buy stuff for his political supporters

The difference between that and this?
You refuse to see it when it happens in a first world country

So in this view… the Government not sitting on the surplus that has been generated by the payroll taxes that fund Social Security is intentionally used to buy votes?

Wow… that is a new one.

[Gaius]

Third world Presidente’ needs support of banana industry to win re-election.

Sets up a phony mandatory pension scheme.
Borrows from the pension scheme into the general revenue fund at two-thirds the market rate
(same as the two-third discount at which the US Congress currently borrows from SS.)

Uses the money to fund

• the Banana industry
• the CHIPS Act
• EV infrastructure so rich people can charge their TESLAs without a ten minute drive
  or
• student loan deferrals.

See a difference? I don’t.

[Jezcoe]

@Gaius

Third world Presidente’ needs support of banana industry to win re-election.

Sets up a phony mandatory pension scheme.
Borrows from the pension scheme into the general revenue fund at two-thirds the market rate
(same as the two-third discount at which the US Congress currently borrows from SS.)

Uses the money to fund

• the Banana industry
• the CHIPS Act
  or
• student loan deferrals.

See a difference? I don’t.

There are other taxation schemes in this country.