Social Security: a present value analysis of Old Age Survivors Insurance (OASI) taxes and benefits
Duffy, Shawn P.
Henderson, David R.
Terasawa, Katsuaki L.
MetadataShow full item record
This thesis presents a present value analysis of the Old-Age Survivors Insurance (OASI) comparing retirement benefits under Social Security with alternative private sector plans and provides a spreadsheet model for making this comparison of plans using different assumptions. The investigation was done by collecting data from various books, Government publications, and various Government agencies to conduct a spreadsheet analysis of three different wage-earning groups, assuming various real interest rates potentially earned in the private sector. A comparison of Social Security with alternative private sector plans is important to the DoD/DoN because less constrained budgets could result if Social Security is allowed to let individuals opt for private investment. The analysis presents clear findings showing that most people incur a net present value loss when comparing Social Security to the private sector if realistic real rates of return, on the order of four to seven percent, are used. Individuals only experience a net gain when an artificially low real rate of return of two percent, which is used by Social Security, is assumed.
RightsThis publication is a work of the U.S. Government as defined in Title 17, United States Code, Section 101. Copyright protection is not available for this work in the United States.
Showing items related by title, author, creator and subject.
Naval Postgraduate School Center for Homeland Defense and Security (CHDS) (Monterey, California. Naval Postgraduate SchoolCenter for Homeland Defense and Security, 2005-09);September 2005. Welcome to the second issue of Homeland Security Affairs. The central theme is Hurricane Katrina. We also offer articles about critical infrastructure protection and capabilities based planning. One of ...
Jones, LR (2012-01-04);In an environment of scarce resources and rising government deficits the public not only expects but demands greater accountability for the spending of public funds. This demand has created a trend in the public sector, not ...
Naval Postgraduate School Center for Homeland Defense and Security (CHDS) (Monterey, California. Naval Postgraduate SchoolCenter for Homeland Defense and Security, 2011);10 Years After: the 9/11 Essays. Homeland Security Affairs (HSA) is pleased to present this special collection of essays in remembrance of the ten-year anniversary of September 11, 2001. We chose to honor those who lost ...