Recs

0

Why the Rich Don't Worry About Social Security

Social Security will be the primary means of support for millions of workers after they retire. But many corporate leaders with vast amounts of wealth have come out in favor of raising the retirement age and making other cost-saving measures to Social Security. Why don't the rich want to preserve Social Security's current benefits?

In the following video, Dan Caplinger, The Motley Fool's director of investment planning, explains why high-income earners don't care as much about Social Security. Using Social Security's benefits calculator, Dan notes that for a 62-year-old worker making $250,000 a year, Social Security benefits will replace only 10% to 17% of a typical year's pre-tax earnings. Moreover, Dan points to a study showing that the CEOs of ExxonMobil (NYSE: XOM  ) , General Electric (NYSE: GE  ) , and Procter & Gamble (NYSE: PG  ) all have sufficient pensions to generate hundreds of thousands of dollars in monthly retirement income, making Social Security look tiny by comparison. Without a stake in the system, the rich are better able to weather any cuts than less wealthy Americans.

Learn more about Social Security
No matter how much money you have, it pays to stretch your Social Security benefits as far as you can. Get more information on how to do that by reading our brand-new free report, "Make Social Security Work Harder For You." Inside, our retirement experts give their insight on making the key decisions that will help ensure a more comfortable retirement for you and your family. Click here to get your copy today.


Read/Post Comments (5) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On December 15, 2013, at 9:29 AM, lm1b2 wrote:

    If there rich why would they care about SS at all,it would just be greed on their part !

  • Report this Comment On December 15, 2013, at 12:32 PM, TD2K wrote:

    Well duh. James McNerney is the CEO of Boeing, the Seattle Times reported that his pension is 'only' $250,000 a month. I doubt I'd be that worried or depend on SS either.

  • Report this Comment On December 15, 2013, at 1:15 PM, luckyagain wrote:

    "Social Security will be the primary means of support for millions of workers after they retire. But many corporate leaders with vast amounts of wealth have come out in favor of raising the retirement age and making other cost-saving measures to Social Security. Why don't the rich want to preserve Social Security's current benefits?"

    Without Social Security and Medicare, very few Americans would ever retire. What amazes me is that millions of Republican voters who are dependent upon Social Security and Medicare for retirement, vote for the rich who do not give a dam about them. Just amazing.

  • Report this Comment On December 15, 2013, at 5:01 PM, californian85 wrote:

    Why the Rich Don't Worry About Social Security!!!!!!!what is a really STUPID writer.

    The question is DO THEY NEED IT?

  • Report this Comment On December 16, 2013, at 7:03 PM, prkNBeans wrote:

    This is kind of an oxymoron article. Ken Langone, one of the founders of THD lamments about his SS payment, which he "donates". My question is, why do any of these types get SS benefits period? I mean OK, they paid in...well let's just say it's their contribution to society. And before you conservatives go bonkers...c'mon...so they get taxed on $115K or so. Chump change to someone making million or hundreds of millions of dollars....not over their lifetime, but a year!!

Add your comment.

DocumentId: 2765440, ~/Articles/ArticleHandler.aspx, 4/23/2014 5:36:13 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Dan Caplinger
TMFGalagan

Dan Caplinger has been a contract writer for the Motley Fool since 2006. As the Fool's Director of Investment Planning, Dan oversees much of the personal-finance and investment-planning content published daily on Fool.com. With a background as an estate-planning attorney and independent financial consultant, Dan's articles are based on more than 20 years of experience from all angles of the financial world.

Today's Market

updated 8 hours ago Sponsored by:
DOW 16,514.37 65.12 0.40%
S&P 500 1,879.55 7.66 0.41%
NASD 4,161.46 0.00 0.00%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

4/22/2014 4:00 PM
GE $26.58 Down -0.01 -0.04%
General Electric C… CAPS Rating: ****
PG $81.25 Down -0.31 -0.38%
Procter & Gamble CAPS Rating: ****
XOM $100.37 Down -0.56 -0.55%
ExxonMobil Corp CAPS Rating: ****

Special Offer for Savvy Investors Like You!

Lorem ipsum dolor sit amet, consectetur adipiscing elit. Ut semper dui vitae molestie venenatis. Suspendisse.

Enter Email Address:



Privacy / Legal Information
Advertisement