gram where they take a percentage from all of the wages earned by workers in this country.1. You can see what I mean when you examine your paycheck.B. The money that is collected is put in a trust fund that provides a monthly income for retired workers.II. According to The Heritage Foundation there are several problems to the current Social Security system.A. Founded in 1973, The Heritage Foundation is a research and educational institute whose mission is to formulate and promote public policies based on the principles of free enterprise, limited government, individual freedom, traditional American values, and a strong national defense. B. Social Security gives a poor rate of return (Heritage Foundation, 2000). 1. The rate of return varies from person to person. a. For instance, for the best case scenario, a married couple with two children and a single earner receives only 4.74 percent if the earner was born in 1932 (Heritage Foundation, 2000). b. However, none of us were born in 1932 so that percentage decreases to less than 2.6 percent for those born in 1976 (Heritage Foundation, 2000). c. Single men do the worst when they only have a rate of return of less than half a percent (Heritage Foundation, 2000). C. People are becoming more dependent on Social Security. 1. Today, Social Security benefits are the primary source of income for almost two thirds of all retirees (Heritage Foundation, 2000). D. The majority of people, unless they go to great lengths to find out, don't know their rate of return on their Social Security taxes. 1. A worker has no clear understanding of the yield on his or her investment in the Social Security program (Heritage Foundation, 2000).E. There is also a problem with beneficiaries of Social Security 1. For example, the spouse will have to choose between their Social Security or that of their partner. [Now that you know what social security is and how return rates, dependency, misinformation, and spousal sha...
