Family Security Matters – It Certainly Does To Women

Dick McDonald

I learned this morning my friend Char has just joined the staff at “Family Security Matters”, a great website devoted to that subject. Ironically my hostess last night at Easter Dinner and I had a heated discussion about family, women and security. It was only heated because I couldn’t get a word in edgewise as I had pushed some very sensitive feminine buttons. I believe I had a solution to her problems but she was so wound up she had to vent first. 

It all started when I just mentioned the word Social Security.  Well you would have thought Hoover Dam had broken. Apparently her feelings of powerlessness overcame her. She had worked for nine years before becoming a teacher and she lost any credit for the Social Security taxes that had been withheld because of the ground rules for her teacher’s pension forbid it. She didn’t want to hear the words Social Security; they were too inflaming.  She also felt so powerless at her present teaching position because the bureaucrats had voted themselves a 46% raise since last raising teacher’s salaries and in addition were claiming to the local parents that teacher’s were earning $72,000 a year in her school district- a complete fabrication.  If that wasn’t enough to set her off the Governor of California just expropriated at large portion of the Teacher’s pension fund to fund a questionable low-return real estate project. Powerlessness wasn’t the half of it.

So not being able to advance my solution I changed course and asked if she ever feared becoming a “bag lady”. Well you would have thought her chair was on fire. She has teacher friends who worked their whole life and ended up homeless; their pension could not support them, they lost their house and everything. I told her of the study that said 48% of women feared becoming bag ladies and she immediately shot that study down. She had never known a woman who had not harbored that fear. So getting no segue I went to another topic.

I asked her if women have a constant fear their husbands will leave them for a younger woman?  Is it a disabling insecurity that weighs heavily on women’s minds?  It obviously was. A man has control over a woman once she decides to stay home and rear the children; she is kind of enslaved. . She doesn’t make money, doesn’t get work experience and viola he leaves her for a younger woman with no financial security and few prospects. So often he hides assets, diverts ownership, etc, to fund his new life. The problem is endemic and paralyzing to women.

At last I saw an opening. I asked how do women have a stable secure and happy life harboring all these underlying fears.  Her silence was deafening, She was now ready to hear my financial solution to these problems for women.

I told her that the solution was simple; stop letting government and their husbands control their financial lives. Painlessly build a nest egg that is unreachable by government and by their husband; property that they own and control and neither the government nor their husbands can take away from them. In the process let’s make it one hell of a large nest egg.

Conveniently we have the perfect vehicle for accomplishing this task for women.  It is the 15.3% of a person’s lifetime earnings that is wasted by government in funding Social Security, Medicare and Disability. Now don’t go wobbly on me. All present and all future retirees will have a base pension and medical aid equal to that paid today. It will never fall below that minimum amount under my plan.

Today retirement and old-age medical costs are paid for by current employees. The government has never saved a dime. There is no Social Security Fund. Talk about your Family Security; there is none there. Congress is in the process of raising your taxes or cutting your benefits on this sinking boat. Its liability to future retirees is in the tens of trillions. A trillion is a million million if you wondered. But we can right the ship and save women at the same time.

Visualize this; that 15.3% of your husband’s and your earnings for that matter go into a personal investment account for your working life. But now here comes the clincher. Half of the funds withheld from your husband go right directly into your personal investment account unreachable by your husband or your government. It is your money and can be invested for forty years in the stock market and get a 10% return on investment.

Further assume your husband is a $60,000 a year truck driver with a desire to divorce you when he retires. So at 67 he files under today’s rules. If you are his wife and he hasn’t put away for a rainy day, you are out on the street, He on the other hand can work and live doing temporary driving.  If he has been planning this for a while he probably has secretly hid your assets somewhere.

So how can my plan insure you  that this financial disaster can be avoided.. Well since one-half of his $9,000 per year in withholding was put into your personal account and invested for 40 years, you have $2.4 Million nest egg and a $20,000 a month retirement check just emanating from the earnings off of your own personal nest egg. You never had to earn one dime and you could have been the kind of mother you always dreamed about being; free from fear of homelessness, abandonment and ridicule.

Now I am sure you a questioning the enormity of the nest egg you have accumulated. To verify this number and its veracity go to and push the button “tables”. There each of the 40 years is scheduled and it explains how the number grows so large.

Now after living a lifetime and accumulating two investment accounts worth $4.8 Million (2006 dollars) with your truck drive husband you both have developed a bond and a family worth leaving that $4.8 Million to. It is questionable you can blow $40,000 a month in retirement. So that nest egg will even be larger.  Knowing that your kids will have to be responsible, you and your husband will devote more time to their nurture. Yes Family Security can be yours; free from fear.

Now let’s assume you are single or on a marry-divorce cycle.  As a single person the whole amount ends up in your personal account. If you go from man to man and don’t marry he can’t invade your account. If you marry, his withholding is half yours until you  again divorce and so on. As computers do all the work your marital status can be modified by the county records automatically.

My plan is designed for family stability. As he (and you) work you are investing in each other. You are not burdened by having to save for your retirement. You will be anxiety-free and happy. A shared life is not worth squandering. In many cases a personal account will be the glue that binds you closer together.

And don’t listen to this nonsense that we can’t afford to change now. The system is bankrupt not America. The liabilities they say that are sending us into bankruptcy are amounts owed to Americans not the Chinese or Japanese. We are a country worth $400 Trillion and have a measly $2.3 Trillion owed to foreign countries and individual foreigners. We can afford the change. Unfortunately the media, special interests and politicians will see it as a death threat.

Repealing Social Security and Medicare will reduce the need for both politicians and bureaucrats a result embraced by Americans. Only 14% approve of Congress. By replacing it with a system that eliminates poverty is abhorrent to those pandering to the entitlement folks and relying on their votes for their power.  The sad part of it is that Congress and 3.3 million Federal employees already have personal accounts they deny us. Does that make a women happy?

I have an uphill battle to save the family and secure its future. If you can help us it would be greatly appreciated. It will hasten the day women are financially emancipated for good. You can go onto the website and hit the donation button. We will be using that money to convince Congress to give us personal accounts like they have or else.  Americans are conservative and fair people and I am out to redress this wrong to women . Please help.

Dick McDonald
April 9, 2007