Loading ...“They also need to take back all the social security they’ve taken, privatize it and actively manage it in investments or pay them off so they can invest it themselves.”
They tried that here. It’s called superannuation, or super for short. Since 1990 every employer pays 12% of each employee’s salary into their personal super fund. It can be a managed fund, or your own personal investment fund. So you’d think that after 35 years of everyone’s super being self funded that the overall revenue take of the government would have fallen, as they don’t have to pay pensions. Nope. It’s stayed at 25% of GDP, even though they’ve forced everyone to ‘save’ the government about 6% of GDP.
But that is not all! as the Cat in the Hat would say. NO! that is not all! For the govt keeps changing the tax rules, as they will when they realise that there is US$3tn of assets under their ultimate control.
So I’m afraid that’s not the solution either. Tax take overall will increase, although you think it is yours there will be oceans of regulations (for your protection, of course) on how and where you can invest it, when and how you access it and so on. The IRS will control it overall, but you have the impression that you are in charge as you can decide if you put it in bonds, or stocks, or whatever.