Social Securtiy, Taxes, Medicare Plan to put forth

ravenbo · May 2, 2005

Here's a plan to consider with others regarding Social Security and Taxes and Medicare. Pass this around conduct roundtable discussions on the impact for each.

Medicare is bankrupt. Health expenses are normally above and over what "average" american workers can pay.

Social Security is a lie. Its a lie because it is the largest Ponzi Pyramid Scheme ever devised in history. There are no accounts per person. Its a Pyramid Plan.

Now here's a plan to fully fund both above by just changing the Tax structure.

When the news does their nightly shows and they all state that the unemployment rate is running about 4 to 5 % what does that mean?

Of a country with 280 Million plus people does it mean that only 5% of those people are not working? Does it mean that 266 Million people are working and only 14 million are not?

No it doesn't. What it means is that only 5% of the people who are considered workers are unemployed. So what are the true numbers?

It means that only half of the country are currently employed working citizens. Which is more representative of 140 million. And of that 140 million only 5% are currently unemployed.

So what does this mean for Taxes? It means that payroll tax withholdings are being withheld from only half the country. So only half of the US citizens are contributing to the overall wealth of the country.

So why aren't all the citizens of the country actively contributing? Well, this is a Free country. People here are not forced to work. People work for careers, homes, businesses etc. But there are millions of others who do not work and do not contribute to the tax structure. Stay at home mothers who do not work pay no taxes themselves. Individuals who can live free with other family members do not have to pay taxes. There are millions of individuals who are granted trust funds and heirships from their respective families. As such if they have money in the bank they are not required to go get a job and have taxes withheld. There are millions of students both US born and from other countries here now who are not paying into taxes. There are millions of tourists here every year on vacations and business who do not contribute to the tax structure.

So as such half of the country is directly funding the tax structure and the other half is not.

If Taxes collected by the IRS with payroll withholdings were abolished and the National Fair Tax by fairtax.org were implemented every single person in the country would be directly contributing.

All people in this country whether they have a current job or not need to purchase daily needed items. They all need food. They all need some kind of transportation of some kind. They all need clothes. They all need personal hygiene products, like toothpaste, etc.

With the Fair Tax structure the tax collection base would go immediately from 140 million to the true 280 million plus. Including tourists and others from overseas. Yes even those people who live elsewhere just by purchasing anything in America would now contribute to the overall tax collection base.

With the Fair Tax plan all workers would take their entire gross paycheck to the bank. Of which they would all save it, spend it, or donate it. All of this would feed directly into the economy.

The Fair Tax plan is based on a 23% national sales tax. Their plan also encompasses ways to fund social securtiy and medicare.

Another idea with their plan could be to reduce the national sales tax to 17% which is in direct alingment with all those who endorse a Flat Tax.

This tax funding is now on a daily basis by people purchasing items they need. 280 million plus people now purchasing things every day.

The tax collection structure would now double. The US Treasury would double in revenue collected.

If people are not having taxes withheld from their paychecks any longer it would be the same effect of all having an extra weeks wages added onto their monthly pay now. Do the numbers and you will see.

So it will be like giving everyone in America an immediate Raise without increasing any prices of services, goods, or merchandise. They just keep their own money.

Remember our country is fueled by the Economy.

Of the 3 parts that are currently withtheld from peoples pay right now they are the following. Taxes, of which is the largest part. Then social security which is a small withholding weekly. And FICA which is medicare which is also a small withholding weekly.

If there is no withholding of Federal or State taxes everyone will be happy when they go to the bank.

So let the people keep their tax money which will be collected by everyone going to the malls and stores etc.

Then double in size the withholding of Social Security and Medicare. This will still be a small amount withheld from everyones paychecks.

Of myself I have about $140 to $180 in taxes withheld each pay period. My social security and FICA medicare is roughly about say $14 to $28 withheld each pay period. So if my social security and medicare is increased without me having taxes withheld it will be like taking a good earned raise to the bank.

Once the social security and medicare is doubled do this to fully fund both and get this country away from the Ponzi Pyramid Scheme that both are now.

Now start a solid 20 year plan.

Give all Current Social Security Recipients a 10% increase across the board. Everyone collecting social security gets a 10% increase immediately.

With a mandate that there will also be an additional 1% increase across the board for recipients for the next 20 years.

Then have 5% of everyones Social Security they are paying or collecting to be rolled into Private Accounts which will turn higher margins of return and they own. By owning them, on the day of their death that money in those private accounts goes to their next of kin, or benificiary.

So all recipients get a 10% increase. But 5% is automaticlly enrolled into Private Accounts. So they still collect a 5% increase across the board.

Everyone paying into social security right now pays Twice, Double, what they are currently paying. This would be easy if taxes were collected another way.

With everyone paying double into social security, automaticlly enroll all payors to have 5% of their paying amount fed directly into private accounts of which they own. No politician can touch or draw from those accounts.

That is year One.

Year Two.

Working population, 10% is fed into private accounts of which they own.

Recipients, the same 5% plus this years 1% incease. 6% into private accounts.

Year Three.

Working population, 15% is fed into private accounts of which they own.

Recipients, 6% plus this years 1% increase. 7% into private accounts.

Year Four.

Working population, 20% is fed into private accounts of which they own.

Recipients, 7% plus this years 1% increase. 8% into private accounts.

Year Five.

Working population, 25% is fed into private accounts of which they own.

Recipients, 8% plus this years 1% increase. 9% into private accounts.

And follow this same model for 20 consecutive years. After 20 years, all the current recipients, if they are still functioning on their own capacity, will still collect like the old model but they will also have private accounts which will be earning more. And these accounts on the day of their death they can will to their children, grandchildren, spouses, or any proper beneficiary.

After 20 years of all current workers paying into this model the entire social security structure can move away from the Ponzi Pyramid Scheme which it is. Everyone would have private accounts which would earn more returns. Their money would be in the bank and not a hope and promise to maybe be delivered.

This can be begun overnight by just doing away with the current IRS tax withholding and going with a modified Fair Tax national sales tax structure.

The Fairtax.org model allows for businesses to do away with hidden taxes which they all pass on to the consumers. So a lot of prices for goods and merchandise could be lowered. A senate oversight commission could monitor and detail to the public consumers those companies who eliminate their hidden taxes in favor of lower prices and those who keep them as profit.

With the entire country and tourists and students from overseas contributing to the tax structure the above model can work.

It would also allow for basic minimum level accounts as is to be created for those individuals whoever and whereever they may be who do not or cannot work to have at least the very basic social security private accounts also.

This same exact model can be applied to medicare. Create Medical Savings Accounts for Retired and Working citizens using the same model. Medical Savings Accounts which each person owns like a bank account but to be used for medical expenses. And they can also will these accounts to their heirs or beneficiaries.

Take this and talk about all the benefits. Find a way to make it work properly.

also

http://geocities.com/lobofoxer