Social Security Comparisons
Commenters repeatedly compare an unspecified proposal or system to Social Security, explaining it as a pay-as-you-go wealth transfer from current workers to retirees rather than an individual investment account, with some calling it a Ponzi scheme.
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Isnt this basically what pensions / social security is?
Social security is not an account you individually pay into and then draw from later, it is a wealth transfer program that taxes presently working individuals to support presently retired individuals.
You'll be supporting all the old people through Social Security/Medicare anyway.
Based on how we've set up social security, yes this is a problem.
It's just like social security!
Why? Social security is young supporting the old.
Isn’t social security living off the backs of other people too?
That's not how social security works. You're not supposed to get a positive return. You directly pay a basic income to retired people (minus administration costs). When you retire, workers pay a basic income to you.
US social security is also like this.
Maybe I misunderstand, but since the money paid out through social security will not be repaid by these 60+ year olds, isn't this a very different thing?