The point of SS is to provide the bare minimum needed to keep you off the street. If you want a better lifestyle you should save and invest your own money separate from SS.
People complain that it is our money and it isn't getting a good return on its investment. Most of the money is being spent right now to pay benefits to the current elders. If new money is going to be diverted to 'investment' accounts, how will the current benefits be paid? If, however, only 4 of the 6 percent paid in SS tax is really needed to support the elders and in the future to provide the bare minimum, then, rather than allowing us to invest the money, don't tax us beyond 4%. We can choose to invest it if we like. Maybe up the limits on IRAs if they think people need to save more.
I believe that we need the entire 6.5% of tax in order to guarentee sufficient funds to ensure that grampa is off the street. I would love to have SS get a better return on funds which are invested, but it needs to be 100% safe. The only 'safe' investments, CDs and such, are federally insured and are therefore a zero sum game.
I think privatization of SS would benefit the wealthy, who are currently the largest investors, by dumping about 250 billion per year in new investment in the stop market.(40,000 * 250,000,000 * 0.025). This would cause an incredible surge in stock prices, in response to which, the rich would take huge profits. It is for this reason, I think, that people are telling W to put forward this plan. W's supporters/friends/confidants are all rich people, who are probably heavily invested.
Yes, I am one of those investors, but I do believe in fair play.