From a press release:
The Social Security Board of Trustees today released its annual report on the long-term financial status of the Social Security Trust Funds. The combined asset reserves of the Old-Age and Survivors Insurance and Disability Insurance (OASI and DI) Trust Funds are projected to become depleted in 2035, the same as projected last year, with 79 percent of benefits payable at that time.
The OASI Trust Fund is projected to become depleted in 2034, the same as last year’s estimate, with 76 percent of benefits payable at that time. The DI Trust Fund is estimated to become depleted in 2065, extended 13 years from last year’s estimate of 2052, with 92 percent of benefits still payable. ...Of course, the economic dislocations caused by the Covid-19 pandemic may significantly affect the trust funds in ways that cannot yet be projected. At least is the short run we know there will be decreased revenues. We don't know how quickly and how completely the economy will rebound once this is over. We also don't know how this will affect claiming behavior. Will people apply earlier for benefits? I wouldn't know about retirement benefits but I've seen no jump in disability claims filed.
I'll bet there will be some increase in claims. A lot of businesses are disappearing, and it will take time for those jobs to be replaced. Also, despite certain governors' best efforts to herd them back into close quarters, a lot of people just aren't going to feel comfortable frequenting movie theaters, restaurants, etc. until there's an effective vaccine or proven and effective treatment available. Nor is everyone going to go back to work when the boss (from home or some other isolated location) throws the office doors back open and swears up and down its totally safe for his/her workers to come back. And even many of the lucky ones who aren't killed off by this thing are experiencing severe long-term complications, including permanently reduced lung function and, in some cases, amputations of ischemic limbs.
ReplyDeletewe don't need these Commy Govnment programs like the Socal Securty. We need money to bail out the hedge funds and big banks. they are the key to us getting thru this hoax and becoming a thriving country again. It's starting to trickle down to people like me and my cousin Cletis already and the bailouts just got started. Thank you Mr. President! Give those Wuhan Whiners signs Amurican Flags cups and musical instruments and put them out on that corner by the underpass! Nobody ever got the disabled from no Wuhan hoax! We don't need no socylist postal service neither! For GODS SAKES just keep them dispinsrees for the mj open! Now that would be a right good bailout!! And also OPEN UP THE DAMN COUNTRY NOW DEMACRATS AND SOCYLISTS!
ReplyDeleteJust need to raise the maximum amount of taxable earnings, which right now is about $137K. Obama talked about fixing Social Security but did not do much. Obviously, Trump will do nothing. Somebody before 2035 has to do it.
ReplyDelete@10:55
ReplyDeleteYeah, except in 2035 the new figure will be that the fund will be out of money in 2050. In 2050, it will be 2065. This isn't new. The threat of the fund running out of money literally is made every year and it shifts back on average a year. Sometimes it moves forward two years, sometimes back another two, but in the end, the imminent threat remains on the horizon in perpetuity. It's almost like the two parties are using the threat as a political football to inspire their own bases but the actual facts don't support either case.
I'm not against raising the taxable earnings cap, but I suspect it is unnecessary.