Proposed Fed reduction of Senior Discount from 50% to 10%

If you want to respond to the Feds proposal you have until Feb 1. you need to go to the web site http://www.regulations.gov/search/Regs/home.html#home

scrool down and click on "Proposed Directives for Forest Service... " then follow prompts.

here is website with a newspaper's writeup

http://nctimes.com/news/local/swcounty/article_6f7faeae-35c8-5704-9858-039ca57c7722.html

My response to them is as follows:



RE: Feds to slash senior camping discounts (from 50% to 10%)


It seems to me that retired couples (approx. 17% by 2022) with less yearly income are being equated with those that are still in the work force (approx. 83%) of campground users. I would, therefore, like to propose an alternative concerning your fiscal issue in the Forest Service Parks. Seniors should pay 52% (a 48% discount) of a park fee! And how did I figure that?


First, let’s take a look at the income of retired couples (making up 11% of FS campers) vs. the working population under 62 years of age (making up 89% of FS campers).


Per the SSA, the average social security income for a couple in 2008 was $1,164.30 for the worker and $574.20 for the spouse, totaling $1,738.50 monthly or $20,862 annually. The Employee Benefits Research Institute indicates 55-64 year old couples have approximately $69,121 in an IRA/401k and 65-75 year olds have about $56,212 in an IRA/401k. Let’s use the average of $62,666.50 to calculate a yearly annuity amount. Therefore, an annuity (at a conservatively average yield of 3.50%) would yield about $3,770.45. It would follow then that a retired couple 62 years old and older would have a yearly income of approximately $24,632.45.


Second, we need to look at the income of the other 89% of campers. According to IRS tax records for 2008, their yearly income averaged $39,527.


A simple mathematical calculation tells us then that the average couple on social security has about 62% the income of those still working, which also means the 50% discount seniors are presently receiving with the passes is really only a 12% benefit if based on the ability to pay after income equalization. Is it reaching too far to think that at the time the original discount for the Golden Age Passport (aka Senior Pass) was established they realized this and rounded the discount to 50%!


The Forest Service said, “campers younger than 62 pay an extra $1.50 a night on average now to subsidize senior discounts, and they probably will pay an additional $1.00 by 2022.” The Forest Service termed this increase unfair. Is that conclusion accurate? In my opinion, I do not believe it is. It definitely isn’t unfair, as the Forest Service termed it, if you base it on ability to pay. In twelve years the salary of the average working couple discussed in the paragraph above would increase by $16,829 (estimated at a conservative annual increase of 3%); therefore, paying $1.00 a night extra for a full year ($365) is a small amount of their salary increase over those years.


In conclusion, I have to ask myself, “Why would the Forest Service decrease the benefit amount from 50% to 10% for those 62 years and older with a senior pass when seniors make up only 11% of the park goers?” Perhaps because it's easier and the Forest Service will get less negative public response if they “put it” to the seniors who are on “fixed” incomes and again, let me repeat myself, make up only 11% of the park goers.


I just happened to read about this in the January 23rd issue of RV Travel in my email in-box on the internet and an article in North Country Times entitled “REGION: Feds to slash senior camping discounts”. I am appalled at the thought that the Forest Service would take this action without somehow publicizing the situation more. A lot of seniors are not computer oriented and/or do not have access to computers on a regular basis. And, besides, almost all of us do not read the Federal Register.


Oh, by the way, the above income comparison indicates the hospitality trend of a 10% discount isn't much of an advantage for retired couples. As a retired senior and holder of a Senior Pass, I have no choice but to always look for whatever advantage my wife and I can get in order to maximize the money we spend. We would be most disappointed if it becomes financially prudent to camp elsewhere. We carried so much on our backs during our 45+ working years and it would be shameful to lose this benefit.

Admin can you fix the text size? It was ok when I copied it in from Open Office Writer

magna94alh wrote:Admin can you fix the text size? It was ok when I copied it in from Open Office Writer

FIXED!!!!!!!

Thanks for the fix!

I may have a different outlook upon retirement but I don't think anyone, with the exception of our military personnell and there family, should be entitled to discounted fees. I wasn't aware that the IRS kept statistics on the income of those using forest service parks.
"Second, we need to look at the income of the other 89% of campers. According to IRS tax records for 2008, their yearly income averaged $39,527."
I assume you meant that to say this is the average income of those under the retirement age. If not then the government really does know too much about us. I would be willing to bet the average "camper" has an income above the non-camper.