Entering text into the input field will update the search result below

The Freedom Account, A Solution To End Social Security And The Retirement Crisis.

Dec. 14, 2020 4:34 PM ETSPDR® S&P 500 ETF Trust (SPY)
Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.


  • All New Citizens (newborn and immigrants) given $1000 into a "Freedom Account"
  • $1000 is invested into American companies via the S&P-500.
  • Citizens recieve a "Freedom Distribution" of 6% annually at age 67 (estimated $3,750 - $15,000 a month).
  • At death 50% is kept by the government 50% distributed to heirs.

Here is my solution to end Social Security and the Retirement Crisis. Starting in 2025 in place of the Social Security Tax, all new American citizens (newborns & immigrants) are given a "Freedom Account" with $1,000 deposited into it. This $1,000 is invested into American Companies by the government on the citizen's behalf via the S&P-500. At age 67 (retirement) citizens are then able to withdraw 6% of the account's value annually. After 67 years of compounding interest, the $1,000 will have grown to $750,000 on the low end and $3,000,000 on the high end. 6% annually would come out to $3,750 a month on the low end (still more than 2x the current monthly social security payment) and $15,000/ month on the high end. This will be the government's money (to replace lost Social Security Tax income) given to the citizen as a monthly "Freedom Distribution". At death (regardless of age), 50% of the account's value will be kept by the government, and 50% distributed to heirs. This system is not intended to be anyone's full retirement plan but will aid those who do not prepare and be an added bonus to those that do!  What are your thougths?

Analyst's Disclosure: I am/we are long SPY.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.