Your Daily Dose of BuzzFlash at Truthout, via my pal Mark Karlin:
Whenever the elected political tools of the oligarchs trash Social Security, they tout 401(k)-type accounts and voluntary retirement savings programs. [...]
...WP article is entitled, "Most Americans accumulating debt faster than they’re saving for retirement":
A majority of Americans with 401(k)-type savings accounts are accumulating debt faster than they are setting aside money for retirement, further undermining the nation’s troubled system for old-age saving, a new report has found....
So the problem facing even non-Social Security dependent retirees (who have earned their checks by paying into the fund) is due to personal debt not national debt. What people owe money on are non-government expenses such as college, housing, cars, credit cards, etc. This is private indebtedness that is contributing to a looming personal retirement shortfall of funds.
Ironically, Social Security is one of the few programs that is keeping most seniors from economic impoverishment, as meager as the average monthly check is. [...]
Since the Reagan era, wages have been relatively stagnant in the United States as debt has risen. It is indeed this growing personal (again not national) debt that has been a primary source of profit for the banks too big to fail. Persons who owe large amounts of money are paying off interest at often exorbitant sums (think credit cards) while in many cases barely scratching away at principal. This is all easy money for banks that are paying out literally .01 % on savings accounts. [...]
So, let this WP article be a mini-lesson on what the oligarchy and their minions on the Hill, such as Paul Ryan, have been up to. Since the Reagan era, they have been promoting policies that increase personal debt while stagnating wages (except for themselves, of course). In turn, a likely majority of the 99% has to go into debt and borrow money at high interest rates, while those who save receive virtually no interest on their savings. This, in turn (except for Social Security) limits what they can save for retirement.
Then the financial titans sponsor think tanks and give campaign contributions to blame "entitlements" for all the personal indebtedness which has fueled their profits. So, if a "grand bargain" of Social Security and Medicare cuts are enacted, the elderly become indebted and poorer, while the Wall Street barons make even a greater profit from increased borrowing as the national debt is lowered in the name of "austerity" (without revenue increases in the form of higher progressive taxes on the rich).
Please read the entire post here.