AND THE NATIONAL BANK SHALL BE CALLED
THE SOCIAL SECURITY BANK
Section 2. Congress shall establish a national bank. Deposits to and withdrawals from the national bank shall not be taxed. The national bank may only lend and or invest with governments of the United States.
THE FIRST STEP
Firstly people presently on Social Security and people soon to retire nothing will change. They would continue to get their checks from the Social Security Trust Fund. In order to ensure that all obligations are met we would propose a 20% surcharge on all estates (i.e. inheritances of any size no exceptions). Then there would be an additional 30% charge on estates over 50 million dollars. These surcharges would remain in effect until all the liabilities of the Social Security fund are paid off and the program transitions to a defined contribution plan. As a result the total benefits you will receive in the future will be secure, safe and deposited to your personal demand deposit account in the SOCIAL SECURITY BANK on a yearly or monthly basis. The funds in the SOCIAL SECURITY BANK would have all the protections of the Constitution and be 100% safe. Plus the funds can be withdrawn at any time.
As a result the total benefits you will receive in the future will be secure, safe and deposited to your personal demand deposit account in the SOCIAL SECURITY BANK on a yearly or monthly basis.
The funds in the SOCIAL SECURITY BANK would have all the protections of the Constitution and be 100% safe. Plus the funds can be withdrawn at any time.
Since deposits and withdrawals cannot be taxed then the funds for the banks operating expenditures would have to come from the government's general revenue. Thus all interest gained from the banks portfolio would accrue to the depositors with the added bonus that the 3% return on investment imposed by the Fed's on S.S.I. funds would now be removed (F.R.B. substitution and negative interest also unconstitutional). Thereby creating a wealth subsidy. Or as we like to say "End welfare, Subsidies wealthfare"
Since the bank can invest or loan funds deposited the bank could provide any financial services currently provided in the private financial market (e.g. health insurance). However as a result of the investment clause it is likely that the rate of return would limit the government in the extravagance of any program it engaged in, because depositors will leave if there return is too low or negative
Finally since the Bank can only lend or invest with governments, all funds expended or received would have to follow the coercive power of taxing authority, therefore the public funds would never enter the private sector.
This would have to change see "Life Expectancy".
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