However, there's something called 401k which is a type of retirement account. You can contribute to it through pre-tax contribution directly from your paycheck. It's fairly common for employers to match a certain amount to what employees contribute. Some might match 100%, some 5%, some up to a certain amount, some have some vesting period, etc.
So that's one thing that is worth taking into account when comparing job offers, because if you plan on contributing $15k a year to your retirement account, if a company matches 100%, that more or less means an extra $15k a year.
So some people might include that if asked of their overall benefits, some might not…
That sounds very similar to a lot of private sector pension schemes that operate in EU member states, e.g. Ireland.
Social Security is a social insurance program that is primarily funded through dedicated payroll taxes called Federal Insurance Contributions Act tax (FICA). Tax deposits are formally entrusted to the Federal Old-Age and Survivors Insurance Trust Fund, the Federal Disability Insurance Trust Fund, the Federal Hospital Insurance Trust Fund, or the Federal Supplementary Medical Insurance Trust Fund.
[above are copy/pastes from Wikipedia]
However, there are a couple of differences. Ponzi schemes are voluntary and you only lose the money you put in. Neither is true of SS.
I agree that 'fraudulent' is inflammatory but to pretend SS is some type of insurance or pension fund is just gilding the lily.
I think everyone would be better off if everyone was just honest about what Social Security is, and what it will be if the contribution/payout ratios start to skew badly. It's belief in financial impossibilities that get people into problems.
>I think everyone would be better off if everyone was just honest about what Social Security is
Calling it a ponzi scheme doesn't accomplish this goal.
Secondly, the points the article does try to make are wrong, and the very first comment on it explains most of it. The article also suggests that things are just fine since the government can just raise taxes or reduce benefits to eliminate the problem, but doing so fundamentally breaks the promises that have been made to enrollees. You can fix the finances of any government program by paying less or charging more taxes, so it's kind of a silly argument. Social Security will probably exist forever, but its financial structure requires promises to be broken when population growth rates change (that is, when the rate of new inductees into the scheme slows).
This is off topic; I'm done talking about it.
Social Security isn't a magic pot of gold. Nobody believes it is. It's welfare that's designed to give more welfare to the people who contributed more when they are able, and less to the people who didn't contribute.