Teacher's Union is the Start - Social Security Change

After the proposed bill to change collective bargaining rights passes in Wisconsin and as the law goes through the process of court challenges, similar bills will appear across the nation. Unions will continue to be demonized, along with illegal aliens, as the causes of unemployment, wages that are too low and wages that are too high.

On a national level there will arise a coordinated effort to change Social Security, Medicare and Medicaid.

Mandatory individual retirement savings accounts and the partial privatization of Social Security will again be on the table. The changing demographics of an aging America cannot be changed by building a wall or arresting illegal aliens. In fact, those acts will only hasten the need for more young people in the work force contributing to Social Security. We will not raise taxes enough (if at all) to prop up Social Security, Medicare and Medicaid. The only avenue left it to change how we finance and how we pay-out benefits.
The typical plan that will be proposed will have between 3 and 5 percent of their wages taken by the government and place into a diversified portfolio of investments. The workers will probably have some limited choices of investment vehicles, but the money will be divided between bonds and stocks. Workers would own their accounts, similar to an IRA ownership.
The elephant in the room with any government planned retirement is that another agency to manage the retirement accounts will require funding. The Social Security Administration will continue to be needed to manage those receiving Social Security Benefits.

When the Republicans retake the Senate and the White House and as the country continues to move towards conservative ideas it is likely that the Social Security will dramatically change. For two decades the media and many politicians have explained that Social Security will run out of money and some change is needed. When our Social Security System was created the retirement age was pegged at 65 and the average life expectancy of Americans was 60.

The changes are needed and will pass. This does not spell doom and gloom for our elderly. Soon, the elderly will become the largest block of voters in American and they will have a large voice in determining how future tax dollars are spent.