Here's what it said for me:
This plan should leave your privatized retirement nest egg, $155,332.69, untouched to pass along as inheritance for your family. I'm 45 and have been contributing the maximum social security tax amount for years.
I chose Plan F. For me, social security is to ensure a basic standard of living. I would not choose a high risk investment for this portion of my retirement planning. Remember, past performance is no guarantee of future results and with our deficits and falling dollar, there's reason to be concerned about falling stock prices. The fact that I had social security to rely on made me more willing to take risks in my 401K.
But I'm not so sure about the "untouched to pass along as inheritance for your family" part. As I understand it, the plan currently being touted requires you to purchase an annuity with the private account proceeds. It's hard for me to imagine that, given the longevity of the women in my family, that I'm going to have much left over after I purchase the annuity. And that will pay a fixed sum, every month until I die, and then it's done. Nothing left to give my heirs. Maybe I'm misreading the output of this website, but I think it's not quite accurate.
