Jackpine Elders

Don’t Believe Misleading Coverage of Social Security Trustees’ Report

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  • #58345

    eridani
    Donor
    • Total Posts: 5,309
    @eridani

    https://www.commondreams.org/views/2019/04/24/dont-believe-misleading-coverage-social-security-trustees-report

    The actual news in the 2019 Trustees Report was much more positive than the headlines indicate. While it’s true that the combined Social Security trust funds will become depleted in 2035 (if Congress takes no action to prevent it), that’s one year later than the trustees projected in last year’s report.

    Even in the unlikely scenario that Congress allows the trust funds to run out, Social Security still would be able to pay 80% of benefits—1% higher than projected in last year’s report. Meanwhile, the Social Security Disability Insurance (SSDI) trust fund is now projected to last twenty years longer than previously estimated—until 2052.

    The bottom line: Social Security will not become “insolvent,” as some of the headlines have screamed. The system would only be insolvent if the nation experienced 100% unemployment; otherwise, workers will continue paying FICA contributions, which will go toward current benefits—just as they have for the eight decades since Social Security was created.

    The Trustees’ report contained more good news about Social Security’s finances. This year, Social Security will take in more than it pays out, despite last year’s projection to the contrary. In fact, thanks to a $3 billion net increase in assets in 2018, the system will have a $2.895 trillion surplus by the end of 2019—a fact few media reports have mentioned.

    Jesus: Hey, Dad? God: Yes, Son? Jesus: Western civilization followed me home. Can I keep it? God: Certainly not! And put it down this minute--you don't know where it's been! Tom Robbins in Another Roadside Attraction

  • #58414

    ElfinWilde
    Member
    • Total Posts: 252
    @elfinwilde

    Don’t worry about that surplus:  Congress will find a way to reappropriate that money and the Executive will go right along with the reappropriation.

    You are a child of the Universe, no less than the trees and the stars. You have a right to be here.

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