A real an opportunity to lead.

Here at The SOB Report, we spend a fair amount of time and digital “ink” excoriating our elected officials for, as some of them have described it, “stealing our retirement dollars.”

Here’s the thing…

We KNOW that not all of these elected officials are willing thieves. More than a few are part of a growing and vocal minority who is disgusted with a public policy of fleecing the public. AmeriCare Today, the grassroots Social Security solution of which The SOB Report is a partner, is actively involved in finding and supporting elected representatives at all levels of government who are brave and honest enough to look at the state of things – i.e. the legal theft of 2.6 TRILLION dollars of YOUR retirement money – and say, “No. Stop!”

But these men and women are smart enough to know you can’t just yank the emergency brake on a runaway train. You have to build tracks in another direction, because this baby just can’t stop on a dime.

AmeriCare Today’s Founder, Jim Gries, has met repeatedly with certain officials who had previously indicated at least a neutral curiosity about the ACT Plan.  Here is his distressing report from a recent meeting, and what you can do to protect your retirement.

Congressman Nugent – An Opportunity To Lead

This past week I and two of our board members met with our own 5^th district of FL congressman, Rich Nugent. For me this was the 3^rd, dating back to his first campaign for congress. This meeting was to discuss a proposal developed by a group of Fl. business owners, and retirees addressing the Social Security issue. Let me preface the following by saying I respect the Congressman as a fellow American, and have no doubt he’s a patriotic American.  However, I must tell you, in my opinion, he’s morphing into a political animal that reflects all that’s wrong with America today.   His enthusiasm for taking on an issue that’s been used to extract 2.6 trillion dollars from the paychecks of working Americans in the form of retirement dollar contributions is less than impressive.

Our country is crying out for leadership, not from a few citizens who are one of 300 + million, but a congressman who’s one of 435, and in a position to raise the Social Security issue to the level it deserves.  Even though the congressman comes from the law enforcement community, he not only fails to confront those who’ve stolen (not my words, theirs) 2.6 trillion of our retirement dollars, he’s joined those who hide behind a “no new tax” pledge, in an effort to pretend it never happened. That’s not leadership, that’s brinksmanship.

“When there’s no leadership, there’s no direction,

and when there’s no direction, people lose their way.”

Here’s what the congressman has apparently chosen to ignore, and/or turn his back on.  A proposal that:

(1) Secures today for current retirees, by fully funding their retirement checks without revision until the day they expire

(2) Unlocks tomorrow for current workers by establishing new portable, worker-owned retirement estates for millions of working Americans; they’re

(3) Eliminates the annual Social Security wage cap, and broadens the Social Security funding base

(4) Frees up, and keeps billions of retirement dollars on America’s main streets annually

(5) Creates member owned local Community Investment Pods or CIPs that hold and manage retirement dollars; every congressional district will have at least one

(6) Uses retirement dollars to fund local bonding needs that build and/or repair America’s infrastructure (bridges, roads, schools, etc.)

(7) Creates hundreds of thousands of much needed new jobs all across America

(8) Keeps your real estate or business home and in your community

(9) Phases out new (operative word) Social Security retiree obligations over a 35-year period

(10) Insures retirement estates against catastrophic losses

(11) Eliminates trillions of dollars of current general revenue fund debt

(12) Eliminates tens of trillions of dollars of future liabilities

(13) Protects elected officials by creating buffer zones between them and lobbyists

I know the congressman doesn’t serve on the ways and means committee, but he is there to serve his constituents who are impacted daily by this issue.  The congressman did mention the hot button political issue, guns.  May I respectfully remind him Americans own millions of guns, yet no one fired a shot, or even showed their gun while his peer group was stealing 2.6 trillion (not my words, theirs) of our retirement dollars.

One final question for the Congressman, what is this Grandparent suppose to tell his 16 grandchildren, who are being financially water boarded all in the name of saving Social Security?  That’s a question begging an answer, and provides an opportunity for leaders to step up, be real leaders, and offer or support bold solutions. When there’s no leadership, there’s no direction, and when there’s no direction, people lose their way.  Unfortunately that’s the direction our country’s headed, simply because those in a position to lead, are turning their backs on an opportunity to lead. If you’re between the age of birth and death, you have a significant financial stake in the outcome of this debate; call Congressman Nugent and ask him to lead. His number in DC is 202-225-1002. To contact the Congressman directly via webmail, click here.

If you are not in this district you can still act. Contact your Congressman or Senator today through this website.

Recently there has been a message floating around cyberspace encouraging voters to sign a petition demanding a, quote, “Congressional Reform Act.” The message is purportedly from Warren Buffett. It’s not, but that hasn’t stopped people from saying so. Here is a portion of the text applicable to our cause:

Congressional Reform Act of 2012

1. No Tenure / No Pension.

A Congressman/woman collects a salary while in office and receives no pay when they’re out of office.

2. Congress (past, present & future) participates in Social Security.

All funds in the Congressional retirement fund move to the Social Security system immediately. All future funds flow into the Social Security system, and Congress participates with the American people. It may not be used for any other purpose. …”

Now, I really have no issue with the first stipulation, other than the fact that it will simply increase corruption and malfeasance. If officials who wield that much power know the gravy train will be a short ride, they will simply try to get more faster.

But the real issues? Well, honestly, there are several…

Congressional retirement funds, just like Congressional salaries, would come from the general revenue fund, so redirecting them would affect no savings. And, since there are already several eligibility classes for Social Security, it would be simple for Congress to simply designate themselves a specific class. So, again, no appreciable positive change.

“All funds” whatever that means, do not currently flow into the “Social Security” fund. In fact, much of the taxes paid for Social Security are already diverted into the General Revenue Fund and exchanged for Special Obligation Bonds. I.E., stolen, spent and exchanged for IOUs.

Social Security funds are used for more than retirement. They are used, among other things, to help support orphaned children.

Congress, past and present, could NOT possibly participate in Social Security as written. They have paid nothing in and, therefore, contributed nothing. There is not enough money in the trust to pay for current “future” obligations, much less to pay people who have not paid in. Of course, and this is what makes this scenario entirely laughable, under the current system, Congresspersons make too much to receive Social Security in the first place.

This ties in with the previous point. The vast majority (read: virtually all) sitting and former Congresspersons would not qualify for Social Security in the first place. So, essentially, what this proposes is a complete revocation of all retirement benefits for Congress. And the proposers of this flawed Amendment actually think they will vote this in?

Not a chance. Even with voter pressure this would not, COULD not, happen. But there is an alternative…a real, practical solution to the Social Security problem that would actually work. A solution that is already receiving some positive feedback from members of Congress.

LEARN MORE

Is the proverbial “fixed income” retired folks subsist on honestly a living wage?  This is a question EVERY working American should be asking.  As the cost of living climbs and inflation increases it’s getting harder and harder just to get by for WORKING Americans.  What about those folks who are living on Social Security benefits?

The average married couple collecting Social Security makes between $1,300 and $2,200 per month. The average single earner receives south of $1,200 per month, with many getting less than $900 per month.

Do you live on that?  COULD you live on that? Not well, I assure you.  When gas slipped over four bucks a gallon my family was spending nearly $300 per month just on fuel – and I work from home!  No wonder we keep hearing about retired folks having to choose between food and medical care.

ACT decided to ask a few other folks how they felt about living on the Social Security Administration’s version of a living wage.  This is what we heard:

“I would live on that if I had to, but it doesn’t sound like a very comfortable life. If I was still making a house payment I couldn’t live on that!”

- B.H., schoolteacher Tampa, FL

What do you think?  To comment on this Question of the Month, click on the link below.  We welcome your feedback!

With all the (largely manufactured) panic about the fiscal cliff—we all know Congress will act at the last moment, passing a “compromise” that helps no one—one of the facts that has been largely missing from the narrative is that the deficit is actually much worse than Congress will ever admit.

At least 2.7 TRILLION dollars worse.

How’s that? Well, that is the amount that some senators have admitted to stealing from the Social Security fund, trading your retirement income for government bonds they count as assets. Let me repeat that.

Congress loaned your money to itself and exchanged that cash for IOU’s they call Special Obligation Bonds. Let me ask you, if you loaned yourself some money and then told the IRS it was income…do you think that would fly? What if you loaned yourself some of your neighbor’s money and called it income?

Now we all know that governments play by a different set of rules financially, but do they really expect us to sit by as they steal from Social Security and call it income?

Of course they do.

As long as congress can keep playing these bait and switch games to keep the headlines away from real issues, they will. Remember the debt ceiling? How the sky was falling, and our economy would never recover?  After months of handwringing and apocalyptic predictions, congress “found a way” to do what they have done scores of times in the past few years. Seriously, for them, raising the debt ceiling was just about the equivalent of you paying quarterly taxes. It’s just something they do. Routine.

Just as routine as trading your retirement dollars for IOU’s.

But what happens when social security starts to go into the red? With nearly 1,000 boomers reaching retirement age EVERY DAY that eventuality is fast becoming reality. Last time congress faced this issue, they simply compromised by taking more money.

Then they spent the money they took. Nearly 3 trillion dollars of it. Suddenly, the vaunted Reagan-O’Neill “75-year Social Security Salvation” looks more like just another stream of income for congress.

$2.7 trillion dollars of your money. Wonder why no one wants to talk about that?