Galveston: Where Privatisation Failed

[reprehensor]

Pensions and penury: the Galveston experiment prepares to go national

Bush plan to follow Texan lead in ending social security splits US

Julian Borger in Galveston
Monday February 28, 2005
The Guardian

snip

It began in 1981, when the old cotton port and two neighbouring counties decided to opt out of the federal pension scheme, known as social security, and set up individual investment accounts for county employees.

The decision was hardly noticed outside southern Texas at the time, but it has now taken on national significance. President George Bush has committed his second term in office to doing across America what Galveston county did 24 years ago.

snip

While local civic leaders say the Galveston experiment represents a triumphant model for the country, Mrs Robison, who retired last year after 45 years' service, insists the scheme has left her about $250 a month worse off than if she had been allowed to stay in social security.

"They promised we would get three to four times as much as social security but ... I do not know one person who came out ahead," she said. "This is not the model they should use."

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[izzie]

1. I am not shocked. I also saved. I live at poverty level.

SS does help and I have a large amount away but it pays little and not a thing I can do about it.