Bill Sykes' Newsletter
from America.
(March 2005)
An ex-Brit gives his views - (without
fear or favor) - of the American Scene
Social Security
follow up:
 When I discussed in the previous issue of
"View from America", the President of the
United States plan to try and privatise American Social
Security I pleaded ignorance of a similar British scheme.
As I have been a member of the American Association of Retired people, (AARP),
for many years I receive a monthly copy of the AARP Bulletin, and low and behold
in this month’s issue was an article by a Ms. Norma Cohen under the enlightening
heading of, "Privatisation bombed in Britain - Now they are looking for
a way out".
This brief synopsis of the author’s article suggests that Britain’s
twenty-five year experiment with pension reform, which included substituting
private investment accounts for a portion of government pension benefits, was
an experiment now regarded as a dismal failure.
Ms Cohen goes on to say that in short the British public,
and their Government lost money and in doing so learned
the hard way that the costs of administering private
accounts can radically affect returns and reduce the
overall money available for paying retirement benefits
by up to 30%. (Or words to that effect).
 So beware you supporters of the Presidential plan - for as I said in the previous
newsletter, if the plan ever passes the Senate and comes into being, and you
deign to participate in such a plan there is every reason to suspect that you
may lose your shirt.
America comedian, Mort Sahl sums up the situation with
respect to the two American political parties more than
adequately with this humorous comment: " The
only thing the parties differ on is abortion. The Democrats
don’t want anybody to be born, but if you are,
they will take care of you from the cradle to the grave.
The Republicans don’t mind if you’re born
if you promise not to live long enough to collect Social
Security."
We welcome feedback about any of the contents of these
newsletters. Please send all correspondence to bill_sykes@huddersfield1.co.uk
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