I understand your perspective, and you raise valid points about the potential benefits of investing instead of contributing to Social Security. If the individual making $100k per year invests $12k annually with an 8% annual return over 30 years, they could accumulate $1,538,365 USD. These figures, of course, are static, and the investable percentage may increase with inflation over time.
It's crucial to consider individual circumstances and financial goals when making decisions about Social Security contributions. Some may prioritize the potential for higher returns through private investments, as you've outlined. However, it's also important to acknowledge that Social Security provides a guaranteed income stream in retirement, and for some individuals, this reliability can be a valuable aspect of their overall financial plan.
Regarding Medicare, you rightly point out that the current qualification criteria, based on 40 quarters of minimum wage part-time work, offer a relatively accessible path to comprehensive healthcare coverage. This stands in contrast to the uncapped Medicare tax paid by those with higher incomes throughout their working lives. Each person's situation is unique, and it's advisable to carefully evaluate the pros and cons based on their specific financial circumstances and goals.