Frequently Asked Questions (FAQ)

 

SUMMARY

OUR PROGRAM is simple in concept. It redirects the 15.3% presently paid by workers* and their employers in the form of Federal Payroll Taxes into a personally-owned investment account, otherwise known as a USA Account, that will grow into millions over the citizen’s average 40-year working life. The funds are invested in safe indexed stock funds that have historically been growing at over a 10% rate for the last 25 years. (of 40-years cycles)

*Self employed individuals pay the entire15.3% in payroll taxes when filing their individual Federal income tax returns. (form 1040)

How will the Prosperity Commission spend the money it receives from donations?

The Prosperity Commission uses money donated primarily to educate the public about the Plan with the goal of its eventual enactment into law. Operationally, it will recruit and train organizations and spokespersons to reach out to the American people and especially to the many constituencies that will directly benefit from the Plan’s enactment. We will run social media and various other educational campaigns, maintain websites, create videos and other educational tools used to illustrate the virtues of the USA Plan,

How can I help?

You can contact us by clicking here. We would love to hear from you.

What will The USA Plan do for me?

This entire site explains what the Plan will do for you financially and socially. It will make you a millionaire. It was designed to deliver hope – the hope so missing in too many American households. The USA Plan will replace the need to save for your retirement. Therefore, the only savings you will want will be for buying a home, kids college, cars, health savings accounts, vacations etc. Finally, family fortunes can be accumulated and passed on to the kids.

If you are an American and concerned about ending endemic poverty, or significantly reducing the national debt, massively increasing annual investment capital and among all other benefits modifying capitalism so it works for all political ideologies this is the Plan for you.

If implemented will The USA Plan cause cuts to my Social Security benefits?

It will not cut the current or future benefits to Social Security beneficiaries.

If it is enacted into law what will happen to the stock market?

If it is enacted into law what will happen to the Social Security Program?

Can I opt-out of The USA Plan?

No… just as you can’t opt out of Social Security. Once you opt-in to The USA Plan you cannot opt-out. However, once you opt-in to The USA Plan you will no longer have to contribute to the Social Security System.

No… just as you can’t opt out of Social Security. Once you owe payroll taxes you are locked into the USA Plan. However, once the USA Plan is enacted you no longer have to pay Social Security taxes.

I am currently enlisted in the United States Armed Forces and covered for retirement under the Thrift Savings Plan (TSP). Can I transfer my TSP to The USA Plan?

The military as well as government and state employees don’t pay social security taxes. Presently, they are covered by their own retirement plans. As almost all such government plans are invested in stock. We plan to provide a transfer mechanism of existing equities into each individual’s USA account. The TSP already has individual accounts that can be easily transferred. However, each individual retirement plan will need to be addressed as some have not set up individual accounts.

Will I be breaking my promise to my mother and father because I have a USA Account?
 
No, you will not be breaking your promise because the USA plan does not replace Social Security. Social Security will be in place throughout your lifetime. However, at one point in the future the value your USA Account will generate income greater than which will be generated under your Social Security account. At this juncture eliminating your need to take Social Security benefits.
 
Politicians on both sides have put this great country into unsustainable debt, therefore breaking their promise to us. They have written into the Social Security promise a provision warning recipients that Social Security may go broke in 2032. The USA Plan will modernize and strengthen the US economy like never before in history. Creating wealth by eliminating poverty is the net effect of The USA Plan. It offers the “Rise Up” Theory of Economics simultaneously with the so called “Trickle Down” Theory of Economics resulting in the true promise of the American Dream.
 
Under the existing Social Security System, is there a Trust Fund set up where my contributions are deposited?
 
Yes, however, it is empty, except for the IOUs politicians have left in its stead.  Politicians of both parties have borrowed from the fund with a promise to pay it back in the future. To date we are $60,000,000,000,000 in the hole. (That’s $60 Trillion) This is unsustainable. This is one of the major reasons we have developed the UAS Plan. Your contribution to Social Security is diverted into a special account that only you can access. No politician or government agency, including judges, can invade your USA Account. The funds you contribute to your account will compound over a 40 year working life and make you a millionaire when you retire. 
 
Will I need to have 401(k)s, IRAs, and other pension options in addition to the USA Account?
 
No, the USA Plan replaces all pension and other retirement plans. 
 
I am a young worker. What happens to my USA Account if the bottom falls out of the economy?

Don’t worry, It never has. Even when the stock market fell from a 15,000 to the 6,000 level on the DOW in 2009 it recovered and reached the 18,000 level by 2016. The economy is measured by the GDP (Gross Domestic Product) and in the intervening 8 years, the GDP only fell in one quarter out of 24. The USA is programmed for a 40-year “Return On Investment” cycle. You can view the average 40-year ROI’s here.

How will The USA Plan influence a flat job market and stagnant wages?
 
One of the natural effects of the USA Plan will be a tighter job market which facilitates higher wages. The National economy will experience a tremendous growth spurt that will require many more workers than we currently have. The net effect will be more people out of poverty off of welfare and working for higher wages which will generate a significant increase to the US Treasury. Higher wages will also increase the amount in cash contributions to your USA Account. It is called ‘Reverse Marxism.’
 
How will The USA Plan influence the wealth gap?
 
The USA Plan will decrease the wealth gap because the poor will become rich, assuming they want to. Remember the USA Plan is based on the Rise Up Theory of Economics.
 
Will Government pick who gets to invest the funds in my USA Account?

No! There will be a minimum of 8 USA stock funds to pick from. The account holder will be the only party to pick which fund or funds to invest in. There will be rules allowing the account holder to transfer between funds from time-to-time

 
What percentage of my contribution to my USA Account will the administrators charge?
 

The Thrift Savings Plan run by the Federal government administers its funds at less than 1%. We anticipate the USA plan will run similarly – at less than 1% per year.

 
If I die after a few years of contributing to my USA Account, who will take care of my wife and children?
 
Upon death an account holder can will the remainder of his account to his wife and children. 
 
What if I become disabled at the age of 25?
 

The amount accumulated in your USA would continue to compound and the dividends thereon reinvested until retirement. However, all existing government benefits would still be available including disability.

 
When I retire, will the government tax my income from the USA Plan? 
 
Yes, only if necessary, and if so, at the capital gains rates. For example, if you have a $4 million balance your income distribution could be as high as $400,000 a year. However, you will only be taxed on the amount distributed as income.
 
Will my contributions be tax deductible?
 
Nobody in history has not taxed on 100% of their income.
 

Will workers lose their Social Security when the USA Plan is enacted into law?

No! The current Social Security System will remain in force to cover individuals not meeting the minimum requirements of the USA Plan. The current Social Security System will remain the level of financial government support no American can fall below. After enactment, all entitlement recipients required under existing law to pay payroll taxes will automatically have a “USA account”.


Who will finance the trillion-dollar shortfall in the annual Social Security funding?

Upon enactment of the USA Plan the nation’s funded and unfunded debt of $144 trillion will immediately drop by at least $70 trillion. According to the Social Security Administration they project to disperse $39 Trillion to its beneficiaries over the next 20 years. The USA plan anticipates full transition in the next 15 years or less.


Is this the plan that solves the poverty dilemma that has plagued civilization for millenniums?

Yes! If America can successfully implement the plan there is no reason to believe its application throughout America, poverty will become a relic of the past.


Will women be treated just like men under the USA Plan?

Yes, all workers are treated the same. The Plan will be “gender neutral”.


How is marriage affected by the Plan?

Under the Plan, married couples that are both working, will deposit one-half of all payroll tax withholdings into their spouses USA Account. If they divorce, there are no separation issues, they just deposit their entire contribution into their own USA Account.


As the family is the cornerstone of our civilization how will families benefit from the USA Plan.

A couple can decide to have the wife stay home and raise the kids and grandkids and yet still retire a millionaire because one-half her husband’s payroll withholdings have been deposited into her personal USA Account.


How will the Plan stimulate the economic growth necessary to support a 7-10% GDP rate?

As all payroll taxes will be immediately invested in stock pools, entrepreneurs will see an annual infusion into the market of an additional $1 trillion in capital to start new businesses or expand existing businesses. We anticipate large growth rates which will eventually level down in mature economies like the United States. However, emerging economies will surely achieve these rates and American investors can reap the benefits thereof.


Is The USA Plan really a plan to dismantle Social Security?

No. Social Security will remain in force as will almost all existing entitlement programs. However, the Plan will massively reduce the need for and therefore the existence of such plans.


 

 

These benefits can be accessed on our HOME page. However, before we go there please click on the link below to help us promote the USA Plan and get it legislated into law.

HELP US HELP YOU


.


 

Yes, Chile’s Private Pension Model Works, Big Time

9/26/2013 - Pensions: In Chile, a major study shows the nation's private retirement accounts provide workers pensions worth 87% of their salaries, 73% of that from profits on savings. So much for the canard about the perils of markets.The story was...

read more

The Two Biggest Myths About Privatizing Social Security

by Matt Palumbo • August 16, 2018 - The Social Security (SS) system turned 83 years old on Tuesday, but given the programs fiscal issues, it has few birthdays left to celebrate. When SS was created, it acted as old age survivors insurance, as the average...

read more

The Obama Economy Was A Disaster

The Obama Economy Was A Disaster As a part of this mid-term election, former President Barack Obama has hit the campaign trail. It appears in joining this fight his main target is countering the enormous success of the Trump economy. Barack contends that...

read more

Do You Want to Fix Our Economy?

You should. After 241 years, according to the USDebtclock.org total US debt is just as large as all private and public assets combined. You can’t pick one reason for such a disastrous result for the most powerful, richest, and the freest country on the...

read more

Do You Want to Make the Working Poor Rich?

When asked that question many people reply with a question. Who is going to clean my house, who will pick up the garbage, where will we get stoop labor to pick our crops? Some will think this is selfish, but the reality is very compelling. If everyone is...

read more

Are You Planning for Retirement?

At some point in life, everyone must consider how to pay for retirement. That was not an issue when the Constitution was written. In those days families took care of the elderly. Today, that is the exception. Individuals have had to turn to private and...

read more

Are You Concerned About Poverty?

If you are an average American, it is unlikely that you are deeply concerned about poverty. 100 million Americans receive some sort of government financial assistance and that doesn’t include people on Social Security or Medicare. When you add government...

read more

Prosperity For All

Prosperity for all is possible with Universal Savings Accounts "We have an opportunity to make the world a better place. Rather than wasting time compromising the political ideologies of progressives and conservatives, Americans could use that time to...

read more

The Economic Framework For The USA Plan

The American Government needs to work better for the people. It needs a redo. As long as it does, let’s try to make it a comprehensive redo in which many goals are reached. The USA Plan is a step in that direction. The USA Plan multitasks to reach the...

read more