The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1934-08-18
Old Age Insurance

matter herein are also reserved.
Old Age Insurance
AS America examines many OF the
conditions under which 1t lives, agi-
tation has grown for old-age insur-
ance.
Much Of this has resulted from
the advancement Of fanciful plans,
such as that proposed In California
which would give to all persons over
a certain age an income of 5000 q
month, the only provlso being that
it be spent In full within the period
for which 1t was given. The basic
idea back Of this plan is not so much
to relieve distress among the aged
as to put money into circulation.
Elsewhere, however. more practical
suggestions have been adopted.
In Iowa, for example, the state COL
lects 50 a year from each voter and
puts the money into q special fund.
From it is paid SIS q month to each
needy person over the age Of IS
years. Thus, for the payment OF
$66 between the time he reaches his
majority and the time he becomes
eligible for . pension, the Iowan Is
given reasonable assurance Of a COM
Portable old age.
Some object to the idea OF paying
out money for which they will re-
ceive nothing unless they are de-
pendent In their declining years, but
on the whole the state seems to like
1t. What would happen if any large
number Of persons were listed as de-
pendent when they reach IS is an
other matter, but in North Dakota
such fund would produce about
$1,300,000 annually, sum which
would 60 long way toward caring
for the aged needy Of this state.
Most successful Of all old-age in
surance plans, however, has been
that devised by industry, the stand
ard method being for both the en-
ployer and the employe to contribute
to a fund from which pensions are
paid after the employe grows too old
to work. Still another method is for
the employer to join in savings en-
terprise, adding certain percentage
OF the amount saved by each en-
ploye to the portion credited to him.
An example of how this works is
contained in recent report by the
General Motors corporation which
shows that employees paid in $751;
074,985 between 1919 and 1884 and
took out $l90,182, 263 in the same Pc
riod. the company having added $92,-
875,297 to the nest eggs of employees
during the IA years. Still left in the
fund is s39, 768,ol9. The fact that
very little of this money went to
old-age support doesn't reduce inter-
est in the system. Rainy days" can
come upon the young and strong as
well as upon the old and feeble.
In addition to these systems
adopted by individual employers, all
of us are familiar with the facilities
offered by insurance companies
which sell old-age- benefit and en-
dowment policies on various terms.
They are available to the individual
business man and farmer and all who
do not have the advantages OF So
called industrial policy" protection.
That the principle soon will be
adopted seems certain il the present
trend continues. The urge toward
economic security is leading issue
in America now and has resulted in
an examination Of the entire field
Proper care for the aged and de-
pendent has enlisted the sympathy
OF enough people to command con-
siderable support. The real question
soon will be one Of how to do 1t
rather than whether or not it should
be done.
When that time comes, careful
study Of all the sound ideas available
will be in order. The ideal measure
will be neither too harsh nor too
lenient. It will provide enough, yet
not SO much as to handicap the abil-
ity to pay. Certain principles must
be observed, among them the fact
that too generous disposition on
the part Of the state will encourage
improvidence. On the whole, the
best system would seem to be one II
which the prospective beneficiariea
Of such q fund bear at least Z part
Of the cost.
Still an Infant
With the spread Of airlines across