Social Security
Social Security refers to the federal Old-Age, Survivors, and Disability Insurance (OASDI) program passed in 1935. Social Security is a social insurance program that is primarily funded through dedicated payroll taxes called Federal Insurance Contributions Act tax (FICA). Tax deposits are formally entrusted to the Federal Old-Age and Survivors Insurance Trust Fund, the Federal Disability Insurance Trust Fund, the Federal Hospital Insurance Trust Fund, or the Federal Supplementary Medical Insurance Trust Fund. According to the 2012 Annual Report of the Social Security Trustees, Social Security’s expenditures exceeded non-interest income in 2010 and 2011, the first such occurrences since 1983, and the Trustees estimate that this deficit will continue. The deficit of non-interest income relative to expenditures was about $49 billion in 2010 and $45 billion in 2011, and the Trustees project that it will average about $66 billion between 2012 and 2018 before rising steeply as the number of beneficiaries continues to grow at a substantially faster rate than the number of covered workers. After 2020, Treasury will redeem trust fund assets in amounts that exceed interest earnings until exhaustion of trust fund reserves in 2033.

What Makes Entitlement Reform Possible.

from Goodman Institute,

More From Goodman InstituteI don’t believe entitlement reform is possible unless there are BENEFITS FOR THE CURRENT GENERATION OF RETIREES as part of the reform. Otherwise, the opponents will demagogue us to death with senior voters. The Washington Times asked me to summarize what some of these benefits might be. Turns out, there are huge opportunities to improve these programs with very little or no cost to the taxpayers. Here is my latest editorial on What Makes Entitlement Reform Possible.:

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