To the United States Congress and the Social Security Administration:

We, the undersigned citizens, urge our leaders to modernize and strengthen Social Security by reforming how its trust funds are invested. Currently, Social Security’s reserves are invested solely in special-issued U.S. Treasury bonds – a safe but low-return asset. This outdated approach limits growth and jeopardizes the long-term solvency of the program that millions of Americans depend on. To secure Social Security for current and future generations, we advocate a shift of a portion of these investments from Treasuries into broad-based equity index funds such as the S&P 500. This reform would harness the higher returns of the stock market to bolster Social Security’s finances, reduce the need for tax increases or benefit cuts, and ensure a sustainable system for decades to come. With proper safeguards and a gradual transition, we can achieve these gains without undue risk or political interference.

Higher Returns, Stronger Security: The Case for Reform: Social Security faces a well-documented long-term funding shortfall. Within the next decade, the program’s trust fund is projected to be depleted under current policies, threatening across-the-board benefit reductions. A key reason is that the trust fund’s assets earn only modest interest in low-yield Treasury bonds. By law, Social Security is restricted to these conservative investments dating back to the 1930s, when memories of the Great Depression made stock investments seem too risky. But times have changed, and so must our approach.

Investing a share of Social Security’s reserves in the stock market has a clear, powerful appeal: higher expected returns mean the system can remain solvent with much smaller tax hikes or benefit cuts. Over the long run, diversified equities have significantly outperformed Treasury bonds. Historical analysis shows that broad equity investments yield about 6% above inflation on average, whereas Social Security’s Trust Fund bonds yield only about 2.8% above inflation. This gap is enormous – and it represents money left on the table that could be working to secure Americans’ retirements.

By prudently investing in broad equity index funds, Social Security would enjoy the higher returns that all other public and private pension funds with diversified portfolios realize. Almost every major pension or sovereign fund in the world uses a mix of stocks and bonds to maximize returns for their stakeholders – why should American seniors settle for less? If Social Security funds earn more, the trust fund’s health improves. Independent analyses confirm that higher returns can substantially narrow the program’s financing gap. Even a partial shift into equities could significantly reduce the size of future benefit cuts or tax increases needed to fix Social Security.

Addressing Concerns about Stock Market Volatility: Skeptics worry that investing in stocks could expose Social Security to market downturns. However, this fear can be addressed through smart policy design and the long-term nature of Social Security’s obligations. Social Security is not a short-term investor; it is a long-term institution that can afford to ride out market swings in exchange for greater returns.

A well-diversified index like the S&P 500 has never lost money over any 20-year period in modern history, despite wars, recessions, and crashes along the way. By spreading investments across the entire U.S. market (and even international markets) and focusing on the long term, the risk of a permanent loss is minimal – while the risk of not investing (and thereby earning low returns) is guaranteed failure to keep up with future needs.

Addressing Concerns about Government Ownership of Stocks: Another concern is that government investment in the stock market could lead to political interference in businesses. The answer is to create strong safeguards that depoliticize the investment process.

We propose that Social Security equity investments do not exert influence over private companies by placing legislations that prohibits the government from voting with any shares owned through Social Security investments, even if those shares are voting shares. This guarantees that investments are purely financial and that the government cannot influence corporate decision-making. Furthermore, Social Security’s equity investments should be entirely passive – tracking broad market indexes.

A Phased and Secure Transition Plan: We advocate a phased transition over many years – a careful step-by-step approach that allows the system to adjust gradually and avoids any shock to the markets or to beneficiaries. Under this plan, Social Security would initially invest a small portion of its trust fund in equities and gradually increase that percentage over time. By the end of the transition period, Social Security would have a balanced portfolio much like a prudent pension fund – part of the money in stable bonds, part in growth-oriented stocks.

Long-Term Benefits for Retirees and Taxpayers Alike: Shifting a portion of Social Security’s investments into equities will help guarantee that Social Security can pay full benefits on time for the long haul, without placing unfair burdens on future taxpayers. If the trust fund earns more, the shortfall shrinks. Billions of additional dollars flow into the fund each year from investment gains, compounding over time.

For today’s workers (tomorrow’s retirees), this reform means greater confidence that the Social Security benefits you earn will actually be there for you. By adopting modern investment practices, we can put those fears to rest. The goal is to enable Social Security’s trust fund to grow alongside the economy.

For taxpayers and the broader economy, the benefits are equally compelling. A solvent Social Security system that doesn’t require large, last-minute tax hikes or emergency bailouts is good for economic stability. If higher trust fund earnings reduce the need for future payroll tax increases, workers get to keep more of their hard-earned money over time.

Call to Action: Social Security is often called the “third rail” of politics – untouchable and stuck in the past. But doing nothing is not an option. We refuse to leave our children and grandchildren a weaker Social Security when a smarter solution is available.

We urge Congress to authorize a phased investment program. America’s retirees – present and future – deserve a Social Security system that is stable, solvent, and as strong as the nation it serves. Sign this petition to demand reform and safeguard the future of Social Security!