Saturday, December 19, 2020

Social security is an investment, not just a safety net

 No, I don't mean it in the way that individual tax payer is investing/saving a part of their salary so that they he/she can get it back later. 

The money in the social security trust fund is invested in treasury bonds. What this means is the money people pay into the social security fund is "loaned" to the government which is then free to use the money in any way it pleases, as long as it pays the interest. In this way, we are investing in the country when we make social security payments. 

???? does this make sense? 

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