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Why blame us?  Because we are no longer the revenue source we once were. This year Social Security (SS) will pay paying out more in benefits than it takes in for the first time since 1982.  The reason is simple.  In 1960 there were 5 workers for each person receiving SS.  This number fell to just 2 workers for each recipient in 2010.  The problem is soon to be compounded with the first of the 76 million baby boomers reaching 65 next year.  In fact, millions of boomers will turn 65 every year until 2030. 

The SS contributions by individuals and their employers never made it to a lockbox, so it could be invested for the future.  Instead Congress, over the years, spent the money it collected on unfunded projects, leaving the American citizens with a great big I.O.U.  Due to  this lack of foresight the government must borrow money from China, Japan and other countries.  The effect this will have on the national debt as the SS recipient pool increases in the years ahead is not a pretty prospect.

Months of debate stirred the murky waters of health care reform and brought many issues to the surface.  For starters, the government intends to cut $500 billion from Medicare.  This is to be accomplished by reducing waste, fraud and abuse – something that could and should have been done as a matter of course, but was not.  Seniors can expect current benefits plans to be altered with the result being lower quality of care, fewer patient choices, higher costs and/or more taxation.

As politicians revisit the floundering heath care bill, it is unclear what will emerge.  In the meantime, insurance premiums continue to increase while SS cost of living adjustments (COLA) are frozen for the next two years.  Will Washington do anything to help retirees on fixed incomes during these difficult times?  Or, must we fend for ourselves and hope lost savings will be recovered, home prices rebound and the economy improves enough to make us financially healthier than we are now?

We are not looking for handouts.  We paid into the system for years and were promised certain benefits.  We expect them, because it’s our money.  Unfortunately, the SS funds are gone and Medicare is under the budget knife as the retiree population continues to grow.  This adds up to great concern about the future.  Our earning days are over, or soon will be, so we can’t generate more income.  If our elected representatives don’t consider us worth preserving, then we must replace these tone-deaf politicians with people who respect our situations and are willing to respond to the needs of all New Seniors.

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Those of us born between 1930 and 1945 are part of a generation that learned how to control our family budgets over the years, and many of us were responsible for business budgets as well.  It never occurred to us to borrow money to run our household or a company knowing we could never pay it back.  Back then, credit cards were just getting started.  American Express was introduced in the ‘60s and those qualifying for the card had to pay the balance at the end of each monthly billing period.  It wasn’t until the ‘70s, when Visa and MasterCard came on the scene and allowed consumers to build a balance and pay finance charges for the unpaid amounts on their accounts.

Making it easy to spend money is never considered an excuse for spending more than a person can afford to pay back.  Yet, we have been educated – maybe propagandized is a more appropriate word – to believe this is the way government works.  That’s why the national debt is $13 trillion.  Image if your personal budget had to pay a third or more of every dollar taken in for interest on the things you bought in the past but had yet to pay for them.  Well, this is how our government handles the monies we entrust to them. 

The proposed budget freeze only slows down the out-of-control spending in selectively, because most of the budget is committed and not discretionary.  It does not address the problem of throwing good money after bad, because once the feds get their hands on our tax dollars they feel compelled to find something to spend it on, or worse yet create new programs requiring more funding.  Government is addicted to spending our money.

If the New Seniors don’t want to pass this debt on to our children and grandchildren, then we must be sure our voices of protest are heard.  We did this in opposition to the government takeover of health care.  Our generation showed concern early on and kept the momentum going throughout the year.  Now we should be looking for candidates in the upcoming elections who understand our needs and are willing to listen to us.   Why, then, can’t we insist on having our elected representatives be fiscally responsible?

Sitting back is not an option.  This country has been good to us.  We believe in what it stands for and want those generations following us to have the opportunities we had.   If that’s not reason enough to get involved, consider the possibility of tax increases, inflation or both.  Those retirement investments we worked so hard for are worth less than before, yet the gains may be taxed at a higher rate.  At the same time, increases in Social Security benefits are on hold and Medicare is slated to be slashed.  If these situations aren’t enough to get you moving, then nothing will.  Come on, join in the fight for what’s right.

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According to research, most of us are comfortable and believe the future is not bleak.  However, instead of this period of our lives being worry-free, as we had hoped, we have several levels of angst to deal with on a regular basis.  Maybe it’s the 24/7 news cycle.  The speed in which information is decimated and the volume of facts and opinions available are mind boggling.  Or is it that we have lost confidence in this country’s institutions: government, banks, big business, everything.  Whatever it is, nobody seems to be worrying about us.

The truth is no institution ever cared about us.  Individuals, supported by family and friends, had to fend for themselves.  We were born at an opportune time in history.  Yes, we worked hard, but were rewarded for our efforts.  Nobody gave us something for nothing.  And, it’s human nature not to want to lose what we have.  Chances are, we’ll make it through the remainder of our lives without all that much trouble – pre-boomers are a tough lot.

My great concern is for my family’s future.  How quickly will the country come out of the recession and what lasting scars will there be?  Are jobs, the right kinds of jobs, going to be available in years to come?  Will public education ever improve?  Do I really believe the government can do a good job of managing health care?  What’s going to make the terrorists stop being terrorists?  How high will inflation go?  Is the national debt ever going to be under control and at what cost to tax payers?  Is global warming really as big a problem as we are told?   The list goes on.

Rather than sit back and let life go on without me, I try to study the issues and make sure my voice is heard by local, state and federal officials.  I vote in every election.  I hope you’re doing the same thing.  If not, get involved; because you can help make the future a little more promising for those you love.  Then, you’ll have nothing to be afraid of.

Included in many retirement portfolios are IRAs, the values of which have declined significantly in the past year, at the age of 70 and a half  withdraws become mandatory and are taxed as regular income.  Couple this with lousy interest rates on savings and the specter of inflation looming over us, and there’s little reason for those born between 1930 and 1945 to feel comfortable about our financial situations.

We are on fixed incomes or dependent on returns from conservative investments and can’t go back into the workplace to earn more money, making pre-boomers vulnerable to a variety of outside influences.  Besides the depressed financial markets, there are a multitude of unforeseen costs that will bite into our nest eggs.

Due to government intervention or outright takeovers, there are potential new taxes that will that will likely make the things we use cost more.  We hear and read about the escalating national debt without knowing how we are going to eventually balance the budget.

Blaming the federal government is easy, but it’s just part of the story.  As you read this state and local governments are scheming to find ways to pick your pockets, too.  In Los Angeles, California, where I live, we are faced with massive deficits at both the state and city level.  Our much publicized system of placing propositions before the voters, rather than leaving it to elected represents, has resulted in the citizens calling for added programs and services without raising taxes.

So, we end up approving propositions that call for the spending money we don’t have; and the legislators can’t stop it, even if they wanted to.  Either we have a representative government where those who we elect are supposed to listen to their constituents and are responsible for the way they vote, or we have a direct democracy and relegate elected officials to the role of implementing the will of the people, with the door being opened for special interest groups to hijack the election process.  What appears to be a way of keeping politicians under control and getting important issues before the public leaves no one in control and eliminates true checks and balances.

Let’s face it any individual, or business, or government (at every level) that spends more than it takes in is in trouble; so income must be increased and/or what’s going out must be reduced.  Americans are smart enough to know this, why can’t we get the politicians to embrace this simple concept?  Maybe our voices have not been loud enough or often enough to drive home the point that we can’t spend our way back to good financial health.  Please let your elected representatives know how you feel, and keep telling them until they act; because we pre-boomers are caught in the middle and no one seems to care.

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The public, in general, has shown its lack of enthusiasm for continued spending and the consolidation of more parts of our economy to be under government control.  This is because we realize, from experience, that this combination will result in higher taxes.  The polls, Town Hall meetings and the growing number of signatures on an endless number of petitions clearly indicate the people are saying “no.”

Party affiliation is being trumped by the concern citizens have for their own financial situation and personal wellbeing and what the rising national debt means to future generations.  Yet the administration insists a health care bill be passed as quickly as possible.  Congress used this panic approach on the stimulus package.  But, while the House applied the same kind of pressure on the cap and trade bill, it’s having troubling clearing the Senate.  Do-it-fast legislation is tantamount to asking your father for the car keys next Saturday night, and when he says “I’ll think about it” you push for an immediate decision even though the answer is invariably “no.”

Maybe this kind of arrogance is exhibited by the politicians because they think seniors won’t remember how our wishes were ignored.  Or, they believe the mid-term elections are more than a year away, and the mood of the constituency will be better by then.  Or, their power has corrupted them to the point were they think nothing can stop them now, forgetting the fact that we put them in office to serve the people.  Why won’t they listen to us when we say “no?”  Don’t they realize this flagrant snub of the electorate may result in them sitting at home when the next congress is sworn in?

Let’s refresh their memories a bit.  Tell them how you feel about the job they’re doing, or not doing.  Remind them how important the senior vote is, particularly in off year elections.  We represented nearly 30 percent of the turnout in 2006.  I suspect the new seniors, pre-boomers (born between 1930 and 1945), will have a disproportionate say in who goes to Washington next time.  This is true with state and local elections as well.

So, stand up and be counted.  If you don’t do it now, chances are you never will.  And there’s too much at stake to let someone else make decisions for you.  Get together with your pre-boomer friends, join groups and organizations that demonstrate an understanding of your needs and share your concerns.  Together we can and will make a difference, now and in the years ahead.  This is one more reason pre-boomers are called “the can-do generation.”  We can all say “yes” to that.