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KMA-628 · 02-27-2005, 06:52 PM

02-27-2005, 06:52 PM	#39 (permalink)
KMA-628 ....is off his meds...you were warned. Location: The Wild Wild West	-Bump It seems there is an "official" proposal similar to the one in this thread This is how it would work: • Upon each child's birth, the government opens an investment savings account in his or her name and puts $2,000 into it. The government puts another $2,000 into the account every year until the child turns 18. The money then would be left to grow at a compounded rate until the individual reaches the retirement age of 65. • Assuming a 6 percent continuously compounding rate of return over 65 years, money in the account would exceed $1 million. The money would be put into a 20-year annuity paying about $82,000 a year. • Assuming 4 million births annually, O'Neill estimates it would cost about $144 billion to fund accounts for each year's babies for 18 years. • After 65 years, this would eliminate any need for Social Security since all Americans would retire rich. His plan doesn't address funding the system's current projected shortfalls.