History of Social Security

In the early 1940s, Franklin Delano Roosevelt, a Democrat, introduced the Social Security (FICA) Program. He promised that participation in the Program would be completely voluntary, and participants would only have to pay 1% of the first $1,400 of their annual Incomes into the Program. Money would be put into the Independent ‘Trust Fund’ rather than into the General Operating Fund and would only be used to fund the Social Security Retirement Program, and no other government program. Annuity payments to the retirees would never be taxed as income.

In the late 1950s, the Democrat-controlled Congress voted to remove funds from Social Security and put it into the General Fund for Congress to spend.  Congressional logic at that time was that there was so much money in Social Security Fund that it would never run out.

In the mid 1960s, Lyndon Johnson and the Democrat-controlled Congress took Social Security from the Independent ‘Trust Fund’ and put it into the General Fund so that Congress could spend it.

In the late 1970s, Jimmy Carter decided to start giving Social Security payments to immigrants even though they never paid a dime into it!

In the mid 1990s, Bill Clinton eliminated the income tax Deduction for Social Security (FICA) withholding. In addition, it was Al Gore casting the tie-breaking vote as President of the Senate, to started taxing Social Security annuities.

A Thomas Jefferson noted over 200 years ago: ‘A government big enough to give you everything you want, is strong enough to take everything you have.’

Hat Tip to Joe Knecht

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