3.2% COLA - Fleecing the SSA

OK, I have heard many times the argument that current SS beneficiaries will draw out far more than they ever put in, at least in part because life expectancies have risen. Yay for improved health.

Usually this argument looks at the face value of the total dollar amount somebody put in during their working years. During my 54 years of working and paying taxes, I put in, at face value, $166K calculated at the employee rates that varied from 4.6% to 6.2%. That ignores the many years I had my own companies and paid twice that.

Then I looked at what my SS contributions could have made if invested in the S&P 500 market over the years since 1969. The average return was 11.38%,  and that seemed very good, so I halved that to 5.69%. My (admittedly low) $166K "contribution" could easily be a pot of $419K, or well over $500K if I count the self-employed years.

At ~37K/year I'll have to live to 81 before I'm fleecing the system. I'm looking forward to it; my FA has me croaking at 91.

And as I post this I realize my calculation ignores what a 400-500K investment would gain as I draw down the "benefits."