Article

2021-09-06 -Signs, Portents, and the Weather-

Social Security won't be able to pay full benefits by 2034

[CNBC] Social Security’s latest report on the status of the trust funds on which it relies to pay benefits has both good and bad news.

The good news is that the funds have not been as hard hit by the Covid-19 as was initially feared, due the economic recovery that has taken place.

The bad news is that the funds’ depletion dates have moved up sooner, prompting a chorus of calls for Congress to act swiftly to correct the problem.

"If this report does not trigger a pretty serious and swift discussion on Capitol Hill among lawmakers about what needs to be done to put Social Security back on a financially sustainable track, it’s really hard for me to imagine what could," said Charles Blahous, who served as a public trustee for Social Security and Medicare from 2010 to 2015 and is now a senior research strategist at the Mercatus Center at George Mason University.

This year’s annual report moved up the projections for when the combined trust funds that pay retirement, survivors and disability benefits will deplete their reserves to 2034, one year earlier than had been projected last year. At that point, 78% of benefits would be payable.

The concept is similar to running out of money in a savings account, said Social Security Administration Chief Actuary Stephen Goss. At that point, the program would only have money to pay benefits based on the payroll taxes coming in at the time.

"The meaning of this is simply to tell Congress that we have shortfalls, that we will deplete our reserves if you don’t act, so act," Goss said of the annual trustees report.

Changes to fix the program could include tax increases, benefit cuts or a combination of both.

But so far, Republicans and Democrats have not agreed on a way to approach the issue.

One plan on the Democratic side, called the Social Security 2100 Act, was last introduced in 2019 and had 209 co-sponsors. Notably, all of that support was from Democrats.

Posted by Ebbomoger Speaking for Boskone4589 2021-09-06 00:00|| || Front Page|| [14 views ] Top

#1 By 2034 I won't care.

Posted by Skidmark 2021-09-06 06:16|| 2021-09-06 06:16|| Front Page Top

#2 There is no 'trust fund'. It's a tax. Period. That's the rationale SCOTUS accepted from the FDR administration in ruling on the constitutionality of the program. Everything else is accounting games. As long as the government owns the printing presses, it'll continue to pour out money.

Posted by Procopius2k 2021-09-06 06:33|| 2021-09-06 06:33|| Front Page Top

#3 Of course that's the same government that keeps minting pennies at the cost of a dollar to make 42.

Posted by Procopius2k 2021-09-06 06:34|| 2021-09-06 06:34|| Front Page Top

#4 Of course that's the same government that keeps minting pennies at the cost of a dollar to make 42.

Well, after all, 42 is the answer to Life, the Universe and Everything..

Posted by Warthog 2021-09-06 07:00|| 2021-09-06 07:00|| Front Page Top

#5 Only the US Gov't could manage to fok up a mandatory insurance program.

Posted by Besoeker 2021-09-06 07:10|| 2021-09-06 07:10|| Front Page Top

#6 if anyone in the private sector created a ponzi scheme like social security, they would long ago be in club fed, breaking big rocks into small rocks

Posted by Retard Strength 2021-09-06 07:50|| 2021-09-06 07:50|| Front Page Top

#7 The topper was when Bill Clinton decided that Social Security benefits really should be taxed.

Posted by Besoeker 2021-09-06 07:56|| 2021-09-06 07:56|| Front Page Top

#8
Remember everyone, It is called a TRUST FUND for a reason.

We foolishly trusted DC-Congress to properly manage the funds.

What was once a Retirement focused fund has now a collection of coverage's.

Maybe adjusting the SSA Wage Tax Cap from $142,800 to $250k or higher might stall its doom for a while.

But getting politicians out of the SSA fund handling and coverage for votes would be a best.

Posted by NN2N1 2021-09-06 08:00|| 2021-09-06 08:00|| Front Page Top

#9 ..got to remember the Donks named it like so many other of their Acts that were the actual opposite of what was implemented. BTW why would anyone 'trust' the government - even its currency says 'In God We Trust', they know better XD

Posted by Procopius2k 2021-09-06 08:54|| 2021-09-06 08:54|| Front Page Top

#10 I guess we need more covid...

Posted by Glenmore 2021-09-06 11:23|| 2021-09-06 11:23|| Front Page Top

#11 Even forced participation Ponzi schemes eventually fail.

Posted by Airandee 2021-09-06 11:58|| 2021-09-06 11:58|| Front Page Top

#12 So it's crap until 2034, and then the crap dries up.

Posted by ed in texas 2021-09-06 12:19|| 2021-09-06 12:19|| Front Page Top

08:57 Grom the reflective
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