The Truth about the Social Security Trustees' Report

[jtown1123]

We all know the MSM does a horrendous job of covering the Social Security Trustees' report each year, so here are some comforting articles to get you through...

Social Security Still Keeping Its Promises-U.S. NEWS & WORLD REPORT. Social Security, however, has not been uncertain. It has performed as promised when so many other financial and workplace promises have been broken. Among all the programs that historically have fulfilled government commitments to the people, Social Security is certainly near the top of the list if not at the top. At a time when government is being questioned and often ridiculed, the importance of society's most important safety net is hard to exaggerate. http://money.usnews.com/money/blogs/the-best-life/2010/08/11/social-security-still-keeping-its-promises

Social Security Madness-NEW YORK TIMES. A lot of the Beltway establishment has a thing about Social Security—in a way, by the way, they don’t have a thing about Medicare, which is a vastly more important long-run problem. No matter how much you talk logic or numbers, they’re obsessed with the idea that Social Security must be cut; as I wrote back when, somewhere back in the 90s talking tough on Social Security became a badge of seriousness, and facts just can’t make a dent in that social convention. http://krugman.blogs.nytimes.com/2010/08/11/social-security-madness/

Radio Interview: http://www.ncpssm.org/video/max_kpfa_8102010.mp3

[dkf]

1. It is fine as long as the pass through system works.

That is when current workers can generate enough to pay current retirees. The problem is that eventually there will be more retirees and less workers. At that time workers will have to pay the current ss taxes plus from their income tax they will have to pay off the bonds that represented the surplus that was collected and spent years earlier.

[jtown1123]

2. It definitely needs to be tweaked to ensure full benefits

after 2037. Even then, it will pay out 78%. Raising the tax cap is a good way to do this without harming the most vulernable in societyhttp://www.ncpssm.org/news/archive/ss_tax_cap/