For more than two decades, Social Security collected more money in payroll taxes than it paid out in benefits — billions more each year.
Not anymore. This year, for the first time since the 1980s, when Congress last overhauled Social Security, the retirement program is projected to pay out more in benefits than it collects in taxes — nearly $29 billion more.
Sounds like a good time to start tapping the nest egg. Too bad the federal government already spent that money over the years on other programs, preferring to borrow from Social Security rather than foreign creditors. In return, the Treasury Department issued a stack of IOUs — in the form of Treasury bonds — which are kept in a nondescript office building just down the street from Parkersburg's municipal offices.
Now the government will have to borrow even more money, much of it abroad, to start paying back the IOUs, and the timing couldn't be worse. The government is projected to post a record $1.5 trillion budget deficit this year, followed by trillion dollar deficits for years to come.
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Lets see if the Government limits bond redemtions by individuals to slow the bleeding, then you'll the end is really close.
ReplyDeleteI'll let them borrow some from me at 10% instead of the damned 1% I get from the bank that got TARP at 0%.
ReplyDelete2.5 trillion.
ReplyDeleteThat's my beef with the 'social security is an entitlement program that should be terminated'.
Fine.
Let them terminate Social Security when they're done disbursing the 2.5 trillion they still owe
us.
To think... of all the things I could have done with the SS deductions I'll never see in my old age.
ReplyDeletess is, was and always be a ponzi scheme, like the stock market, big banks, derivitives all schemes and scams to take americans money and put them on the street.
ReplyDeleteThere is more than one reason I don't like Obama's Health Care Plan, but the main reason is that they are creating another very large cow they will be able to milk cash from just like they did Social Security. They are all thieves people. Don't ever forget it. Democrat and Republican congress are all criminals.
ReplyDeleteI like the health care plan, I dont give a fck what it costs either, just like they waste trillions on fake ass wars and no one complains, now for once do something for the taxpayers who pay for all this bs
ReplyDelete8:20 So you don't care that the Health care plan may be the final nail to finish off America? Does the company you work for pay your health care now?
ReplyDeleteI am self employed, I pay for it myself.
ReplyDeleteSilly article...
ReplyDeleteDon't these people understand that we can just keep borrowing and/or printing money FOREVER???
I've been against the Dems health care reform...until now. I hope they pass it. Just ram it through...nice and hard.
It's either going to make things better - great...OR it's going to put us just one step closer to Thunderdome.
Why pay taxes when they can just print money?
ReplyDeleteWhy work when we can just photocopy money?