Social Security: Politician's Honey Pot

Subject: Social Security: Politician's Honey Pot
From: Sandy Creek
Date: 27 Mar 03 - 10:23 AM

If I understand correctly, retired senators and congressmen are dipping into social security for their retirement pay while contributing nothing or very little to the fund. And I understand that these people can draw this money for the rest of their lives even though they only serve one term. AND these are the same people trying very hard to lower the monthly payments to those who need it and raise the retirement age. What about it?

Subject: RE: Social Security: Politician's Honey Pot
From: NicoleC
Date: 27 Mar 03 - 12:03 PM

Define "dipping into." The US budget routinely spends excess social security contributions for things other than social security. hich wouldn't be a bad thing accounting-wise if the fact the money had been spent wasn't an excuse to pretend like SS was "bankrupt" instead choosing to spend other non-SS revenues on SS payments to make up the difference.

No, members of Congress do not pay contributions to Social Security. They also do not receive SS benefits for the years they spend in Congress, although they may recieve them for employment -- and contributions -- from private sector jobs.

Instead, they participate in a different federal pension plan (FERS) -- which they make contributions into. FERS is also partially funded by tax dollars, up to 80% of a Congressperson's annual ending salary.

Salaries, of course, are 100% funded by tax dollars.

Subject: RE: Social Security: Politician's Honey Pot
From: Joe Offer
Date: 27 Mar 03 - 09:26 PM

Federal employees who participate in FERS (Federal Employees Retirement System) pay the full amount of Social Security Tax - this applies to all civil service employees hired after 1984 - and this page (click) says it also applies to members of Congress.

I worked for the Federal Government from 1970 until I was privatized and granted early retirement in 1996. I was part of the Civil Service Retirement System, and paid 7-1/2 percent of my salary into the retirement fund. After I was privatized (damn Clinton & Gore!), I paid the maximum full Social Security tax until if completely quit working in 2001. I got in my 40 quarters and will qualify for Social Security benefits when I reach the appropriate age. Even though I paid the tax and earned Social Security benefits, there is a huge reduction in my benefit because of a "public pension offset" that was enacted by Congress in response to accusations that Civil Service and military retirees were "double-dipping." Those retirees did get a pretty good deal before the offset was enacted, but the legislation was an overreaction that put the shaft to us cho came later.

It's a really raw deal for a person like me who was privatized out of a civil service job, because I draw about half of the pension I expected to receive.

And no, it's not a "honey pot" for members of congress, either. they pay for their pension program, and they pay for their social security benefits.

-Joe Offer-
Retired Investigator, U.S. Office of Personnel Management
(My agency administers the retirement program)

Subject: RE: Social Security: Politician's Honey Pot
From: NicoleC
Date: 27 Mar 03 - 09:40 PM

Thanks for the correction, Joe. I thought FERS was a replacement for (like the railrod workers' plan), not in addition to SS.

Most executive level jobs have some sort of retirement plan partially paid for by the same folks who pay their salaries. When it come to Congress, if the taxpayers are going to pay Congressmen and other federal employees a salary, I don't think it's unreasonable that part of their pension plan and the cost of administering it is funded by taxes.

However, I think that having Congress vote on their own salaries and benefits is pretty dumb!

I found this FAQ
on the subject with more raw data.

Subject: RE: Social Security: Politician's Honey Pot
From: Bobert
Date: 27 Mar 03 - 10:31 PM

Carpe Diem!

Yeah, they might as well live it up because when the "baby boomer' get to the finish line there ain't gonna be too much left in the trough.

Yeah, these folks are only concerned about their comfort. When it comes around to the working class retiring, the deal will be so rigged that very few will actually be *able* to retire and mnay will work on Boss Hog's assembly lines until they drop dead.

Guarenteed.

This entire scheme by the right wing is to roll back the *benefits* that working American got under FDR.

I just hope that these folks who think they can just get away with this grand theft undersdtand that the Baby Boomers know where they live..

Enough said.

Bobert

Subject: RE: Social Security: Politician's Honey Pot
From: Troll
Date: 28 Mar 03 - 02:33 AM

Joe, I got hit by the reduction and it hurts.
There's nothing in the trough now, Bobert, except I.O.U.'s and never has been. The whole thing is a gigantic Ponzi scheme. Every administration has used the S.S.Fund as a cash cow that they could milk for whatever they wanted. The sad truth is that Social Security was never intended to be a retirement fund. It was supposed to Supliment an individuals personal retirement fund. Unfortunately, too many people have saved zip and so they will eke out their elder days on a little SSA check and food stamps.

troll