TAKERS OUTNUMBER MAKERS ALMOST 2:1

Even I was shocked by this article. There are 1.7 government “benefit takers” for every one person working.

148 million people are getting benefits from the government. I’m sure this is sustainable, given enough borrowing and money printing. Socialism is great until you run out of other people’s money. 148 million “Americans” agree.

Taxes are going up, I have no doubt. Obama’s good at creating taxes, he’s created 442 new taxes since taking office. Is it too late to sell everything and leave the country?

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86M Full-Time Private-Sector Workers Sustain 148M Benefit Takers

April 16, 2014 By Terence P. Jeffrey

Buried deep on the website of the U.S. Census Bureau is a number every American citizen, and especially those entrusted with public office, should know. It is 86,429,000.

That is the number of Americans who in 2012 got up every morning and went to work — in the private sector — and did it week after week after week.

These are the people who built America, and these are the people who can sustain it as a free country. The liberal media have not made them famous like the polar bear, but they are truly a threatened species.

It is not a rancher with a few hundred head of cattle that is attacking their habitat, nor an energy company developing a fossil fuel. It is big government and its primary weapon — an ever-expanding welfare state.

First, let’s look at the basic taxonomy of the full-time, year-round American worker.

In 2012, according to the Census Bureau, approximately 103,087,000 people worked full-time, year-round in the United States. “A full-time, year-round worker is a person who worked 35 or more hours per week (full time) and 50 or more weeks during the previous calendar year (year round),” said the Census Bureau. “For school personnel, summer vacation is counted as weeks worked if they are scheduled to return to their job in the fall.”

Of the 103,087,000 full-time, year-round workers, 16,606,000 worked for the government. That included 12,597,000 who worked for state and local government and 4,009,000 who worked for the federal government.

The 86,429,000 Americans who worked full-time, year-round in the private sector, included 77,392,000 employed as wage and salary workers for private-sector enterprises and 9,037,000 who worked for themselves. (There were also approximately 52,000 who worked full-time, year-round without pay in a family enterprise.)

At first glance, 86,429,000 might seem like a healthy population of full-time private-sector workers. But then you need to look at what they are up against.

The Census Bureau also estimates the size of the benefit-receiving population.

This population, too, falls into two broad categories. The first includes those who receive benefits for public services they performed or in exchange for payroll taxes they dutifully paid their entire working lives. Among these, for example, are those receiving veteran’s benefits, those on unemployment and those getting Medicare and Social Security.

The second category includes those who get “means-tested” government benefits — or welfare. These include, for example, those who get Medicaid, food stamps, Supplemental Security Income, public housing, Temporary Assistance for Needy Families, and Women, Infants Children.

Let’s examine this second category first, which the Census Bureau reports as “anyone residing in a household in which one or more people received benefits from the program.”

In the last quarter of 2011, according to the Census Bureau, approximately 82,457,000 people lived in households where one or more people were on Medicaid. 49,073,000 lived in households were someone got food stamps. 23,228,000 lived in households where one or more got WIC. 20,223,000 lived in households where one or more got SSI. 13,433,000 lived in public or government-subsidized housing.

Of course, it stands to reason that some people lived in households that received more than one welfare benefit at a time. To account for this, the Census Bureau published a neat composite statistic: There were 108,592,000 people in the fourth quarter of 2011 who lived in a household that included people on “one or more means-tested program.”

Those 108,592,000 outnumbered the 86,429,000 full-time private-sector workers who inhabited the United States in 2012 by almost 1.3 to 1.

This brings us to the first category of benefit receivers. There were 49,901,000 people receiving Social Security in the fourth quarter of 2011, and 46,440,000 receiving Medicare. There were also 5,098,000 getting unemployment compensation.

And there were also, 3,178,000 veterans receiving benefits and 34,000 veterans getting educational assistance.

All told, including both the welfare recipients and the non-welfare beneficiaries, there were 151,014,000 who “received benefits from one or more programs” in the fourth quarter of 2011. Subtract the 3,212,000 veterans, who served their country in the most profound way possible, and that leaves 147,802,000 non-veteran benefit takers.

The 147,802,000 non-veteran benefit takers outnumbered the 86,429,000 full-time private sector workers 1.7 to 1.

How much more can the 86,429,000 endure?

As more baby boomers retire, and as Obamacare comes fully online — with its expanded Medicaid rolls and federally subsidized health insurance for anyone earning less than 400 percent of the poverty level — the number of takers will inevitably expand. And the number of full-time private-sector workers might also contract.

Eventually, there will be too few carrying too many, and America will break.

http://www.cnsnews.com/commentary/terence-p-jeffrey/86m-full-time-private-sector-workers-sustain-148m-benefit-takers

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11 Comments
El Coyote
El Coyote
April 16, 2014 10:15 pm

A guy I know took the time to calculate how much he and his employers have paid into social security over the years and at what point he will be getting more money back than what he put in. He took the time to estimate online how many years he will live and it seems the social security office overestimates his chances, probably to make him think he’ll get the better part of the bargain.

Social Security Taxes
From 1974 to 2012 combined SS taxes (excluding HI taxes) paid by employee and employer are $220,288 in 2014 dollars, taking into account the different rates for each year since 1974 and using the lower employee rates for 2011 and 2012:
@ age 62 a 1489/mo payout would deplete this account in 12.32 yrs to age 74
@ age 66 a 2011/mo payout would deplete the account in 9.13 yrs to age 75
@ age 70 a 2673/mo payout would deplete the account in 6.86 yrs. To age 76.5

Life expectancy 73 yrs (65 to 79) analyzing health factors – Wharton website
Life expectancy 83 yrs (83 to 86) not analyzing health factors – SS website

Iska Waran
Iska Waran
April 16, 2014 10:30 pm

The solution: Twinkies and cigarettes.

underfire
underfire
April 16, 2014 10:46 pm

And our “Best and Brightest” can’t figure out what’s wrong with the job market. Any sane person would conclude that a society that no longer works is doomed to collapse, I think we’re on the leading edge of getting a good look at that.

bb
bb
April 16, 2014 11:04 pm

When the economy does collapse those 148 + million Will be almost completely helpless.Then a large % will become very dangerous .Best be well armed and prepared to use deadly force .It’s going to get real scary in the next few years.

Mike Moskos
Mike Moskos
April 17, 2014 12:15 am

The real problem is two fold: the ability to borrow and the ability to leave future spending obligations (like those for maintenance or health care for veterans) off the books.

If politicians had to raise taxes for every new program, we’d see government reduced.

NickelthroweR
NickelthroweR
April 17, 2014 2:30 am

Greetings,

The government, frankly, has a tiger by the tail and can not let go. At some point, though, the situation will require that someone be thrown under the bus in order to keep they status quo going just that tiny bit longer. If I were a betting man, my guess is that Social Security will be the first to go.

The seniors will scream but they are in no position to fight. Frankly, cut off their health care and most of ’em will be gone in a year or two. That isn’t true of the FSA. Though they are worthless and obese, they can still make a mess of things.

Fun times are a comin’

TPC
TPC
April 17, 2014 9:23 am

@bb – Look at it as being freed. If TSHTF you will have carte blanche to protect your land and livelihood as you see fit.

El ILEGAL
El ILEGAL
April 17, 2014 11:05 pm

The reason my friend got interested in his SS contributions is that he read 1974 was the peak year for middle class earnings. I can recall one guy back then (1975) who got an ATC job making $18K or $346 per week. Larry Sears was impressed because that was big money for an entry level air traffic controller. Of course, the dude lost his job after the PATCO strike.
In a story on the decline of Sears, it was noted that workers making $341 per week could afford to shop at Sears and keep that business prosperous. That would be $1720 per week in today’s dollars; a yearly income of $89,440.
My friend said his earnings peaked in ’89 – ’94. After that, even with incremental increases, his earnings in 2014 dollars dropped $10k below those years. Yet the Misinformation Media says people today are happiest making a yearly income in the mid $50 thousands. This may be true if the writer is speaking of a $55,000 income in Arkansas or Kentucky, it isn’t much to brag about in California.