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Are You Depending on Social Security For Retirement?

It all began on August 14, 1935 when FDR signed the Social Security Act; the first payments were made in January of 1940. It seemed like a great deal at the time. Those that had hardly put in any tax dollars were now receiving a monthly check from the government to help them in their retirement years. The system seemed to be working for a while, but recently there have been questions regarding the availability of funds in the future. As it turns out, the Social Security system is incredibly flawed and most of us will not be able to receive funding by the time we retire. Even though this may cause great discouragement, it is not the purpose of this article.

Let’s assume for just a moment that the Social Security system is running perfectly and there will be plenty of funding for our future retirement years. Would you put all of your faith in this governmental system to take care of you when you are old and unable to work? I certainly hope not. According to, the maximum Social Security check currently is $2,346 per month. I hope you are thinking, “That’s it? That’s all I can collect?!” If this is your initial thought, perhaps you should begin taking matters into your own hands.

There are multiple studies performed every year regarding the “golden years”. Those that are new to the job market are spending recklessly and have no understanding of the efforts it takes to retire wealthy, yet they often respond to the survey with the belief that they will be living large at retirement, with more money than they’ve ever had before. I was surprised at how many people were so naive! When I look at those that have ‘retired’, they either are living a much more frugal life than when they had been working, or they are still working part-time in order to pay the bills. I honestly don’t know of anyone that is living their life in luxury, taking cruises, or traveling the world. Do you? The retired folks always seem to say they are just bored at home so they decided to take a job to fill up some time and feel worthwhile. This may be true for a few, but if I were retired, I would not be spending my time greeting customers at Walmart. These ‘retirees’ need to go back to work in order to survive! The Social Security checks alone will not guarantee a worry-free retirement.

I suggest that you take a look at my recent articles about investing for those retirement years. Do not delay! Get yourself out of debt and begin saving for your retirement!

Money Retirement


My name is Derek, and I have my Bachelors Degree in Finance from Grand Valley State University. After graduation, I was not able to find a job that fully utilized my degree, but I still had a passion for Finance! So, I decided to focus my passion in the stock market. I studied Cash Flows, Balance Sheets, and Income Statements, put some money into the market and saw a good return on my investment. As satisfying as this was, I still felt that something was missing. I have a passion for Finance, but I also have a passion for people. If you have a willingness to learn, I will continue to teach.

1 Comment

  1. Thanks for telling young people to look ahead to the future. You couldn’t live on Social Security; you need some sort of steady retirement income as well.

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