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To: Jim McMannis who wrote (56704)	10/5/2000 12:40:37 AM
From: jim kelley	Respond to of 93625

Yep! But the government does not even get the bank's money market rate. <G>

To: Jim McMannis who wrote (56704)	10/5/2000 8:33:15 AM
From: Zeev Hed	Read Replies (1) \| Respond to of 93625

Jim, I may be wrong on this, but that puny rate is due to the fact that most funds don't "accumulate" but are disbursed at once to current social security recipients. The rate on the excess (or trust funds ) could not be lower than treasuries (and since the trust buys these directly from the Treasury, there probably should not be any transaction fees either). If you take out 1/6 of funds contributed, the trust fund will grow even slower and the rate of return on what is left will be even lower than 2% on that balance. Zeev