Thursday, January 27, 2011

Social Security In Deficit?

  Who would have thought that Social Security would be running in the deficit category after all of the reports out that have been saying that it would be in good shape for years to come? It is now being reported that the Social Security trust funds will be depleted sometime near 2037.

                           Yahoo/ A.P.

The massive retirement program has been suffering from the effects of the struggling economy for several years. It first went into deficit last year but had been projected to post surpluses for a few more years before permanently slipping into the red in 2016

This year alone, Social Security will pay out $45 billion more in retirement, disability and survivors' benefits than it collects in payroll taxes, the nonpartisan Congressional Budget Office said. That figure nearly triples — to $130 billion — when the new one-year cut in payroll taxes is included.

   Of course, all of those baby boomers will begin hitting the retirement age and applying for benefits also, so we can all look forward to an even bigger lag in those S.S. trust funds. Our lovely Congress says that it will replace the shortfall, but that will only add to our already massive deficit.

    Why do I get the feeling that you and I are being set-up by our politicians so that they can then come in with a big list of cut-backs that we will have to have in order to keep Social Security solvent? This will be the excuse for raising the retirement age and for cutting our benefits also.

   We are about to get screwed royally!