Wes wrote:
"John R. Carroll" wrote:

Hey Tom, this was known to be on the horizon.
The Treasury doesn't need to help anyone because the huge surplus's
will now be used, as intended, to cover benefit payments.
The downturn in our economy has certainly reduced revenues, and that
needs to be adressed but SS will NEVER, and isn't able to borrow
money. Taxes can go up and benefit payments can be reduced but
that's about it.

Are those the FICA taxes? As in making withdrawls from my 401K that
has defered income taxes only subject to the income tax?


I suppose. Disbursements from your 401K are hardly tax free, however, if you
make them early.
There was talk last year of passing a law to allow 401K distributions tax
free in distressed situations ut it didn't go anywhere.

Hey Wes, one other alternative is to do what Ronald Reagan did and delay the
onset of benefit payments to an older age.


--
John R. Carroll