Finally, a sensible approach to Social Security

Great Washington Post article about how best to resolve the Social Security dilemma. This is a Social Security plan I can get behind. Money quote:

Making protection of the vulnerable the first order of business does have a cost. It means less — whether lower benefits or higher taxes — for those of us who are not as likely to be poor. But if that seems threatening, remember that Social Security benefits are already equivalent in value to about a $400,000 401(k) plan for the average-income couple retiring today. Add in Medicare, and the total package of benefits for a couple is projected within less than 25 years to exceed $1 million.

With benefits soaring this high, Social Security reform should not be mainly about enabling the average American to retire in middle age, pay little tax and avoid saving. Rather, changes should aim to keep necessary sacrifices manageable while demanding fewer transfers from our children to us and more from them to our grandchildren.

If you haven’t already registered with Washingtonpost.com, it’s worth it, if only to read this one article.

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