Insecurity

The one big claim that the Bush administration makes for retiring the Social Security program is that the taxpayer would be in control of his/her own destiny, by making wise financial decisions as to how the money is invested. You, not the government would be in charge of private accounts. Sounds good! Until you look at the reality of it. Do you have the knowledge needed to pick the best fund to invest in? Can you predict the ups and downs of the stock market? You can? Well then, you don’t need a retirement program at all; you’re already filthy rich if you can do those two things!

Let’s suppose you’re moderately intelligent, you have a good job and you’re good at it. You have a 401(k) program at work and it seems to be doing well for you. Do you fool around with it? Making changes every couple of days, just to maximize your returns? You don’t? Of course not! You are smart enough to let those who have some expertise in that field, the fund managers, do the managing.

Case in point: I watch the stock market, as I have a considerable amount invested in funds. It isn't a fortune, it’s considerable to me. And I have watched as the numbers rise and fall based on…apparently how some key investors felt that morning after checking their hog bellies and oil futures. Last month, I lost 1% of my investment. One month and 1%. Now I’m not worried (yet) because the market does fluctuate and I remember a time last year when my investment rose by 4%. Not bad…but it is nerve wracking at times and in the back of my mind is the fact that there are no guarantees that at the end of the year, I will have any money left. My financial consultant and I have agreed that I’m a conservative investor and all my investment decisions are made with that in mind. And I still lost 1%. And you know what? I haven’t touched my Social Security package yet. (I'm not quite 65) But it is my lifeline and that is what I think about whenever I see the numbers going down.

But, enough about me…what do we do about the millions that weren’t blessed with a good 401(k) and a pension? What about the millions of American’s that can’t even balance their checkbooks, let alone manage their retirement funds? Do we ignore them in the year 2040? Just walk by, eyes averted and grinning inwardly because we were so smart and they weren’t? I hope not…