Friday, March 11, 2005

527s and Personal Account Statements

NRO has an article on the possible format of personal account statements for Social Security. I'd like to see President Bush create a hypothetical account and use as an example a black 45 year-old worker who went to work at low wages at age 18, experienced average wage growth ever since, and had the maximum percentage of his SS tax contributions invested in the same fund choices available to federal workers.

How much would his balance be today? What would it be at projected retirement? How does that amount of accumulated net worth compare to the average black worker today?

I suspect the answers would be real eye-openers. The president needs to take this directly to black voters. Perhaps an enlightened 527 organization might like to run a few ads. A few well-spent dollars here could enhance the chances of reform as well as shift a few votes in future elections.

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