I was looking at Paul Krugman's blog today and he mentioned Bush's desire to privatize social security. I had almost forgotten about that. My 401K has lost over 30% of its value in the last year. I wonder what would have happened to our social security funds if Bush had been able to push through his privatization nonsense? Pretty frightening.
Allow me to clarify
There has just been a pretty long and kinda spazzy response to this post by Kevin, the old buddy that lives in bigfoot country. From what he is saying he seems to think I think the government should be the only safety net we have. To that I say, I have a 401K so obviously I don't think social security is going to be there for me as the only source of retirement income. What I am saying is that I think it's nice we have a social security system that does not invest in the private sector. That is why we have private 401Ks. If I make to the age where I can retire I will have to rely on my 401K (yikes), social security (double yikes) and the North Carolina state employees retirement fund (seems fairly stable). The experts say we should diversify and putting social security funds into stocks when I already have a 401k that invests in mutual funds is not diversification. I believe it's putting all of your eggs in one basket and even a snot nosed five year old knows that's not a good idea.