Baalzamon said:
So you are telling me that Ron Paul has a plan where I can take 7.65% of my income and make it into my own retirement instead of putting it into a government retirement that I completely and totally don't trust? Sign me the hell up. (Not making this much currently...only 19 years old, but the point is still being made) 7.65% of $100,000 is $7,645 per year. Since this income is already taxed, if you would take $5,000 of it, and put it into a Roth IRA each year, making an average of 8%, you could come out with a sweet $1,259,282.50. That amount of money is worth the equivalent of ~$386,000 today figuring in 3% inflation per year for those 40 years. So if you have a health insurance plan costing you $10,000 per year (with today's dollars) once you retire, you could be taking $20,000 out for 20 years, and then your money would finally be gone. With 10% interest and 3% inflation, you would instead have ~$675,000 (present value), and that $10,000 health insurance plan and the $20,000 "pension" would actually lead to you having well over $1 million after 20 years. I guess the point I'm trying to make, I think I could turn $7,645 per year into a retirement plan so fucking much better than medicare and social security that it really would take me about 2 seconds to make up my mind if I was given the choice. |
This. Plus my current employer does profit sharing which lands me roughly 20% of my income in an added retirement "bonus". Right now I'm only 22 and I only have a salary of 35k, but that's still $7,000 a year into a retirement plan without touching my income. That's basically the same as if I made 42k and instantly invested 7k of it.
I would SOOOO rather have that extra 7% back on my income.
Not to mention, this would help the economy by creating a higher demand for accountants and investment firms for personal retirement plans.
