In light of El Jefe Maximo’s State of the Union speech, where he discussed Social Security privatization, I’ve dredged from the archives this very short post about a side of Social Security that is completely ingored in the whole debate.
Roughly one-third of all Social Security payouts go to the disabled. One thing I haven’t heard in all of the discussion about private Social Security accounts is how these accounts would work for the disabled. Suppose you’re 45, middle class, and unable to work anymore. How much could your private account be worth? Maybe the privatizers haven’t answered this, because the answer is straightforward: not very much.