Personal Finance Expert Ric Edelman Reveals Solution to the Social Security Crisis

PR Newswire

WASHINGTON, April 19, 2017 /PRNewswire/ -- Nationally recognized personal finance expert and New York Times best-selling author Ric Edelman proposed a new solution to the looming Social Security crisis this morning at The National Press Club in Washington, D.C. The plan, Tomorrow's Retirement for the U.S. Today Fund for America (T.R.U.S.T. Fund for America), could completely replace Social Security retirement benefits, dramatically reduce Social Security taxes and produce trillions of dollars in savings for retirees – all while creating hundreds of billions of dollars in federal and state income tax revenue.

"This year, for the first time, the Social Security Administration is paying out more in benefits than it is collecting in taxes. The Social Security Trust Fund is projected to be completely depleted in 16 years," said Edelman. "It's time to think beyond increasing Social Security taxes or dramatically reducing retirement benefits. The T.R.U.S.T. Fund for America solves the problem at far lower cost than other proposals."

Based on the principle of compound growth, the T.R.U.S.T. Fund for America calls for the government to set aside a one-time amount of $7,000 for each child born in the United States, and to repeat this annually for the next 35 years. The money would be placed in an investment portfolio determined by an expert panel appointed by the president and Congress. After 35 years, the government would receive back its initial outlay, plus inflation, and use the proceeds to fund the program for children born during the next 35-year cycle.

"This proposal is more practical than any other being discussed in Washington," said Edelman. "It not only ensures that Social Security retirement benefits are not cut, [but] it would save Americans $2 trillion in payroll taxes."

The total cost of Edelman's proposal is $1 trillion – 92 percent less than the $12.5 trillion in new taxes and benefit cuts recommended in June 2016 by the Bipartisan Policy Center's Commission on Retirement Security and Personal Savings. And unlike the BPC's proposal, the T.R.U.S.T. Fund for America's concept is a permanent solution to the Social Security crisis.

For more information on the T.R.U.S.T. Fund for America, please visit www.edelmanfinancial.com/promotions/Trust-Fund-For-America.

ABOUT RIC EDELMAN:
Ric Edelman, Founder and Executive Chairman of Edelman Financial Services, is widely regarded as one of the top advisors in the field. He was ranked the nation's #1 Independent Financial Advisor three times by Barron's,[1] named among the country's Top 10 Wealth Advisors by Forbes magazine[2] in 2016 and is the 2017 recipient of the IARFC's Loren Dunton Memorial Award,[3]which is awarded to a person who has made a substantial contribution to the financial services profession and/or the financial interests of the public. He also was named one of the "10 most influential figures" in the advisory field by RIABiz in 2013.[4]

Ric is an award-winning radio and television personality,[5] and a #1 New York Times bestselling author. His ninth book, The Truth About Your Future, was published in March and is an instant New York Times[6] Best Seller. Ric is an inductee of the Financial Advisor Hall of Fame^[7] sponsored by Research magazine, a Distinguished Lecturer at Rowan University and resident expert for Dr. Oz.

With 157 financial planners and 42 offices coast-to-coast, Edelman Financial Services manages more than $17 billion for more than 31,000 individuals and families.[8] Visit Ric online at RicEdelman.com.

Ric Edelman is an Investment Advisor Representative who offers advisory services through Edelman Financial Services, LLC, a Registered Investment Advisor. He is also a Registered Representative and Registered Principal of, and offers securities through, EF Legacy Securities, LLC, an affiliated broker/dealer, member FINRA/SIPC.

[1] According to Barron's, "The formula [used] to rank advisors has three major components: assets managed, revenue produced and quality of the advisor's practice. Investment returns are not a component of the rankings because an advisor's returns are dictated largely by each client's risk tolerance. The quality-of-practice component includes an evaluation of each advisor's regulatory record." The rankings are based on the universe of applications submitted to Barron's. The selection process begins with a nomination and application provided to Barron's. Principals of Edelman Financial Services, LLC self-nominated the firm and submitted quantitative and qualitative information to Barron's as requested. Barron's reviewed and considered this information, which resulted in the rankings on Aug. 27, 2012/Aug. 28, 2010/Aug. 31, 2009.
[2] Forbes rankings are the opinion of SHOOK Research and are based on advisor interviews, client retention, industry experience, compliance record, assets under management and revenue generated for the firm. Investment performance is not considered. Advisors do not pay to be in the ranking.
[3] Presented by the International Association of Registered Financial Consultants (IARFC). Candidates must hold a professional designation and must have disseminated their comments on financial topics by having them widely published in articles, journals, books, etc. They must have provided outstanding personal service or leadership in the financial services industry. Nominees must have participated in some aspect of financial education to the public or to other members of the profession. Investor experience/returns were not considered.
[4] The RIABiz listing of the 10 most influential figures in the Registered Investment Advisor industry is in recognition of notable, driven and influential executives who are advancing their firms and are considered to be influential in the RIA business. Investor experience/returns were not considered as part of this ranking.
[5] Throughout the firm's 30-year history, EFS and Ric Edelman have been presented with numerous business, advisory, communication and community service awards. More information on these awards can be found at EdelmanFinancial.com/awards.
[6] The New York Times Book Review Advice, How-To and Miscellaneous. April 16, 2017.
[7] Research magazine cover story "Advisor Hall of Fame," December 2004 (based on serving a minimum of 15 years in the industry, having acquired substantial assets under management, demonstrating superior client service and having earned recognition from peers and the broader community for how they reflect on their profession). Investor experience/returns were not considered as part of this ranking.
[8] As of December 31, 2016