Social Security

DO YOU BELIEVE EITHER OR BOTH OF THESE STATEMENTS about Social Security ARE TRUE?

🧐Social Security is a driver of our national debt.

🤭Social Security is built on a house of cards – its assets are just IOUs.

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Categories: Social Security

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3 replies »

  1. If Congress paid us back for all they took out of OUR money; the fund would have enough. I was actually told by someone in Congress that this has been happening since 1965. It stopped 2016 but I don’t know if they did it again since. Now we paid this in good faith as insurance that it would be there for us when we retired if we earned it. Now they are paying SSI for those who can’t speak English. That was allowed by Congress. Now I think the congressional pension plan should be converted to SS fund, rededicated, the yearly limit on FICA tax taken off, and Congress made to pay SS/FICA taxes. Term Limits would help solve that since they’d have to keep up what they did before going to Congress and continue when they leave it. This lifetime job is Shit. Congress was not set up to be a lifetime job esp. as old as 90’s still there. If they paid it, they would take it seriously and not as another bank account to spend on anything they want. Entitlement might be the word for it because we are ENTITLED TO THE INSURANCE WE PAID INTO all our working lives. It does have money in the account now but we may need to raise the FICA % in the future.
    The Baby Boomers have PAID IN IT ALL THEIR WORKING LIVES. We may need to raise another group to another age to collect. People are working longer now. But we have to keep Congress’s sticking fingers out of the pot. Like I said I DO KNOW a few Congress people.

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    • If someone in congress told you that, they have no idea what they are talking about. When there were excess payroll taxes (before 2010) over what was needed to pay benefits the money was used to purchase interest paying treasury bonds. That was the way SS was funded since 1936. Nobody took the money. In fact, that interest of over $80 billion a year on those bonds is now used to pay benefits. And, some of those bonds are being redeemed to also pay benefits. By 2034 all the money (bonds) in the Trust will have been used to pay benefits. Members of Congress have been paying SS taxes since 1983.

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  2. Yes and yes.

    Technically, our $21 Trillion in national debt doesn’t include the $200+ Trillion in unfunded liabilities promised by Congress. But it is real until Congress takes action. I suppose the feds could sell a bunch of federal lands and national parks to eliminate the official debt and unfunded liabilities. Perhaps the Chinese would make such an investment.

    Yes, we have real assets in the trust funds. But, those assets are backed only by government’s ability to tax. As our annual deficits again approach $1 Trillion, as we redeem those bonds, it is apparent that, without change, redemptions will add to our annual deficits and national debt.

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