[ QUOTE ]
At retirement you only get to keep the amount that you earned on your investments that exceeds the 3% return that Social security currently earns. And even then you may be forced to either buy an annuity with the remaining balance, or be limited to the amount of money withdrawn every year.
[/ QUOTE ]
I believe you're info is from an erroneous Washington Post story that was retracted by the Washington Post yesterday. I might add that this was after the vehement insistance by the administration. I heard New Jersey Senator Corzine spouting the "info" that was presented in the erroneous Washington Post story yesterday. One can only wonder if this was a deliberate excercise in disinformation.
Washington Post Story Indicating they Goofed
From the article:
The Washington Post incorrectly reported Thursday that the balance of a worker's personal account would be reduced by the worker's total annual contributions plus 3 percent interest. In fact, the balance in the account would belong to the worker upon retirement, White House officials said.
"Individuals get to keep everything they set aside in personal accounts, plus the increased rate of return they'll realize on their investment," White House spokesman Scott McClellan said. "So to suggest otherwise is wrong. It is the individual's account, and the government cannot touch it."