Social Security Expected to Dip Into Its Reserves This Year

You jelly ?

 

Life insurance is not a bad deal because you get a choice and there is a lot of competition. Competition is good for the payer. The moment people can opt out of SS, they may have to work for a change!

Health insurance is another story and needs a thread of its own.

Where did you get the $12,000.00 per month figure?

 

I'm sorry, you're asking me a question based on an false premise. I don't give them anything, and I doubt most people do.

 

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Can you prove what you just stated?

What LBJ did was change an internal government bookkeeping practice. Up until that period of time, Social Security's income and expenditures had always been kept completely separate set of government books. President Johnson added Social Security's accounts to the general government budget. By adding the Social Security funds to the government's overall ledgers, LBJ was able to disguise the growing deficit caused primarily by all the spending for the Vietnam War. Not only did he disguise the deficit he used the SSI funds to keep the war going.

 

When you say "raided", don't you mean funds were "stolen" and there is no value left?

Yes. And yet we have an annual reporting of the Trust Funds. They report the amount of the invested surplus.

 

Well, at the fabled 'end of the day', everything is probably going to go well for Social Security and the other programs for people who have EARNED these benefits by paying into them all their working lives.

For one thing, unemployment is the lowest it's been in over 17 years. The Great Recession ended exactly nine years ago, and now, with business-oriented people having been in a situation where they can run the country again for the past year, more and more money will be pouring into both Social Security and Medicare -- from both employees and their employers!

Another reason is that Baby Boomers are dying like flies every day! All you ever hear from the media is that Boomers are retiring in huge numbers as soon as they can, but they've already started DYING in large numbers, too. If you didn't already know this, once a person DIES, that person is no longer paid Social Security any more! .

Hint: you can begin having your paycheck hit every single month to support these social programs when you're only a teenager, and work all the way to your mid-60's, but, if you DIE two or three years later -- the MONEY STOPS COMING FROM THE GOVERNMENT TO YOU, dead guy! And any amount of benefit you think you 'accumulate' that can be passed on to your heirs is NOT there! Your heirs do not (NOT) inherit your 'unspent' Social Security benefit!

 

It's not about you. It's about us in aggregate. And we, on aggregate, give 24% of what we spend to 1.5 million families. What makes you think that we, on aggregate, are giving them the wrong amount?

 

insurance companies are along largest institutional holdings. they don't rely on luck

 

Trump's famous chapter 11 plays are starting earlier.

Conservatives wrongly believe welfare payments disappear down a hole with no benefit to the nation.

That is wrong. Welfare payments are spent 100%, mostly on American grown and manufactured foods.

Furthermore, it demonstrates that spending on the education of conservatives is failing its objectives.

https://en.wikipedia.org/wiki/Fiscal_multiplier

 

You are trying to link Trump somehow to the Social Security Trust Fund Ponzi scheme?

 

You're still blaming Reagan?

You do realize that your chart shows that the income divide grew just as much during Clinton's tax increases and regulations as did during Reagan's tax cuts and deregulation?

I'm glad I was able to point that glaring fact out for ya!

 

Typical Obama doublespeak.It was true Obama cut His own Deficits
in half.Not hard given his entire first term had average annual deficits
OVER $ 1.2 Trillion.Bush had a 2007 Budget deficit of $ 161 Billion.
Are you reading me ... over and out.

 

Yaddie Yaddie Yahoo.Reagan took in more to the Treasury than
ever before while amassing annual GDP in the *3-4 % range.
He ended the Cold war with Russia without firing a shot.
He swiftly put a stop to Control freak Air Traffic Controllers
and made air travel more beneficial.Under Obama we had
Airport pat downs { even of little old ladies and kids with braces
on their legs}. Even a Senator { Rand Paul }.
The democrats Party has virtually nothing to run on besides " Resistance "
and Identity Politics.That is why under Obama the Democrat Party lost
more elected Democrats { over 1,2oo nationwide } than since the Stock
Market crash of '29.

* Annual Real GDP Growth of between 3.5 percent - 4.9 %.

 

history actually proves my point

 

We put 9% of our wage into an investment fund we can control if we wish, to be cashed out at retirement. Can put it into gold bullion if you want.

Works reasonably well.

 

Reagan was really kind of ho hum.
Slick Willie will never be beat.

 

when the market turned south in 07, I started buying property. I started worth a 3 unit multi family unit. once rents started coming in, I bought more. if I would have had the half million id paid to ss, I could have bought more and so could everyone else. the recovery would have been fueled by capital instead of debt.

 

invested ?
It is taken by the government, spent and replaced with promises to pay in the future, despite the fact that it can't pay it's bills today and has to borrow.
And no, those treasuries in the fund cannot be sold on the open market, they are not USTs like everyone else buys and sells. They can only be redeemed by the US gov, our broke government .

 

Downturns are nothing to be scared of, you just have to get ahead of them. Buy long when bull market, sell short when bear. Don't sell your long term shares when they're devalued, buy more.

Nothing on this planet is sweeter than options. Maybe negative gearing, idk I hold no property.

 

Quote: "more and more money will be pouring into both Social Security and Medicare -- from both employees and their employers!"

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Yeah, but the fact is SS and Medicare outlays keep outpacing FICA revenues, and the gap between outlays and revenues is growing.

Here are the numbers and "RATIONALE"

Projected SSDI receipts FY 2018; $825 billion
Projected SSDI outlays FY 2018; $970 billion
Projected gap; $145 billion
Interest earned; $75 billion
Additional receipts needed; $70 billion

Question: Today, how many more people on payroll is needed to increase SSDI receipts by $70 billion?

Answer: 18.8 million

The Math;

median wage in the U.S. per person; $30,000
$30,000 X 12.4% = $3,720
$70 billion/$3,720 = 18.8 million

 

I'm not disagreeing with you about Social Security, per se, but when you post a graph, you really should also post a link to the site where the graph came from, kode. When you don't, your argument is compromised. I'll post the link for you:

https://www.ssa.gov/oact/progdata/assets.html

Yeah, I'm still the arch Right-wing fiscal Conservative, kode, and I wish that the hyperliberal Left had never rammed through socialistic programs like SS, Medicare, Medicaid, and all the rest of it. But, all these many decades later, 'wishing' has nothing to do with reality. We're been stuck with these programs throughout the entire working lives of many citizens, and the government has been forcing American workers to pay into these systems all that time!

The entitlements are supposed to be EARNED through the mandatory contributions made by both employees and their employers. If we're going to cut anything (and we should), it should start by cutting UNEARNED payouts to people who have filed fraudulent claims for SS DISABILITY handouts. Those bogus claims for SS payments had climbed steeply and steadily in the 20-year period from at least 1996 through 2016: https://www.ssa.gov/OACT/STATS/dibGraphs.html . They are beginning to decrease now, but reviews should be conducted to get rid of all of them except for those that are proven to still be valid (assuming that they ever were legitimate in the first place!).

 

Pollycy,

Kode's alternative/solution to fix SS is to eliminate the wage cap, and yes,
eliminating the wage cap would generate surplus contributions for several years, HOWEVER, historically, our surplus contributions have been forwarded to Boeing Co. so to speak, and for that reason, we definitely need a HANDS OFF! conditional clause to Kode's alternative Bill, such as;

"Surplus contributions SHALL be invested in FOREIGN T-Bills/Bonds"

 

Those "promises to pay" are Treasury securities.

True. So? Your U.S. Savings Bonds can't be sold on the open market either. Do you know what CFPs and CFCs say about Treasury securities?

 

Facts;

a. Government Account Series have increased Federal spending

b. A municipal bond Trust Fund would had reduced Federal spending

 

That's a debt owed to the American people who LENT that money ...