Social Security Will Be Paying Out More Than It Receives In Just Five Years
Right now, Social Security continues to take in through revenue more than it pays it through benefits, which is expected to continue until 2022. Once Social Security begins to pay out more than it takes in, it will be forced to liquidate the assets held by the trust funds.
In 2016, Social Security generated $957 billion in income. It only paid out $922 billion including $911 billion in benefits to 61 million beneficiaries.
But increasing the payroll tax is not a good long-term solution to fixing Social Security. For example a higher payroll tax would have negative economic effects. In addition, it’s not even clear that raising the payroll tax would even generate enough revenue.
A typical ponzi scheme will start to implode shortly after payouts exceed the new money coming in and let me make this clear social security is a ponzi scheme the only difference is that it's run by the government instead of some crooked investment agency.
If you're in your 40s or younger don't expect to see a dime from social security. Heck maybe even your 50s too. I have very little hope the congress will fix this problem anytime soon. They for sure aren't going to cut benefits and increases taxes because like the article states it will just hurt the economy even more.
I don't see a plan to solve this problem without some pain being dished out to the general public. The best option I think would be to reduce social security benefits over a 10 or 20 year period and at the same time reduce payroll taxes so that people that are still working can save more for retirement. Defiantly not perfect but it's better than just having it collapse and leaving all the senior citizens unable to support themselves.
Social Security generated $957 billion in income???
Wooow
This is why they are looking for more milk cows.
You mean illegals?
Just taxation in general, game over for social security due to demographics.
i think we could avoid the pain - if we just terminate Congressman's Pensions...& hidden foreign bank accounts- and check under their mattresses too. Do people still stick money under the bed?
Ya It would probably help if we didn't let companies like google or apple pay pennies on the dollar for income taxes.
So true.
They prefer to squeeze the regular working people.
Yes is a money making scam for the state.
Taxes are a fun paradox, the more you increase them the less you have. That's why we've been inflating the dollar. Though that's has the same dilemma. Interestingly enough you can go back to Roman history and see that they have already done this and it collapsed. Here we are doing the same thing almost like clock work. (I think I wrote an article about it but if not there is a great vid on youtube by Stephan Molonox (sp) called the Fall of Rome). Bet you would find it very interesting
Social Security is a WWponzi. And a scam, in general. It´s blatantly a tax. If you don´t work the required years, you lose it. If you die, your family loses it. For the individual, in no aspect at all it is superior to saving your own money.