Social Security System Essay Example | Topics and Well Written Essays - 1000 words

mixer surety System - Essay ExampleBut there is more to the Social Security System than a mere pension arrangement. The economic gait is that Social Security is a mechanism whose functioning ensures the render of revenue for disfavored members of the society such as the old, the handicapped, the ill and the unemployed, so as to enable them meet up with basic necessities. Like the Balance of Payment (BOP) and the work cycle, the Social Security System experiences mevery set backs but there exists a Social Security problem. The interest here is to identify this problem and aspire a way of fixing it. It shall therefore be important to view the functioning of the Social Security System then identify the Social Security problem before proposing a possible solution to this problem.In an article entitled Solving the Social Security Problem in America, published in his website Russell Bailyns fiscal Planning Blog, the New York Wealth Manager, states that Social Security is a federal pr ogram which provides retirement and disability income to players through the collection of Social Security taxes. Every worker in the United States is responsible for paying these taxes during their working years and entitled to receiving attain checks when they are eligible for retirement. Bailyns explanation is a perfect illustration ofhow the Social Security System functions. ... Bailyn further explains that the people who are most concerned with the system are often unaware of it. Im unaware that 12.4% of my paycheck goes towards these taxes, Im just likewise far from receiving benefits to worry about it. Perhaps part of that irresponsible logic stems from how the system is organized. Rather than each taxpayers Social Securitydollars getting earmarked for their own retirement, they get paying into a common pool of m unrivaledy allocated by the federal government. (Bailyn, Russell. Solving the Social Security Problem in America). The Social Security is an unjust system as it t he argumentation of a major problem. The problem of the Social Security lies in its impracticable nature and its tendency towards monetary difficulty. In effect, the problem lies in the fact that for any given economy, if there exists a rapidly increasing ageing population and a small working population, then the amount of money placed in the Social Security fund will not be enough to salvage the problems of both the present and future ageing populations as well as other disfavored sections of the population. In the same line, the system is not a viable one since those who are currently paying their money into the system may after not benefit from it. This is explained by the simple fact that the Social Security system is not like a private bank account where one places his income and later on retrieves it at will. On the contrary, the money one pays into the Social Security is used for the needs of others and if later on the payee is unable to also benefit from the system due to a lack of funds then the system is clearly an unworkable one. Perhaps part of that irresponsible logic stems from how the system is