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OnePimpTiger
01-26-2011, 10:33 PM
CBO: Social Security Will Run Permanent Deficits (http://www.npr.org/2011/01/26/133253327/cbo-social-security-will-run-permanent-deficits?ft=1&f=1001)


Sick and getting sicker, Social Security will run at a deficit this year and keep on running in the red until its trust funds are drained by about 2037, congressional budget experts said Wednesday in bleaker-than-previous estimates.

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.

Congress has promised to replenish any lost revenue from the tax cut, but that's hardly good news, either, adding to the federal budget deficit. In another sobering estimate, the congressional office said government red ink this year will increase to $1.5 trillion, the most in U.S. history.

duane1969
01-27-2011, 12:16 AM
Yet we (working class) keep pumping money into it. My .02 is that the time is coming where a class-action lawsuit will be brought against the government. Speaking for me personally, I pay quite a bit into the system and to think that it will not be there in 30 years when I may need it is disturbing.

If an independent retirement company took people's money and gave them nothing back it would be against the law. I wonder what government employees will go to prison for the fraud that is Social Security?

Theodor Madison
01-27-2011, 12:24 AM
Sure do not expect nothing when I become of age. Probably die long before. With people, especially young people not finding jobs, There is no way the system can handle the problem. Those who are working just have to till they die.

pghin08
01-27-2011, 09:01 PM
Yet we (working class) keep pumping money into it. My .02 is that the time is coming where a class-action lawsuit will be brought against the government. Speaking for me personally, I pay quite a bit into the system and to think that it will not be there in 30 years when I may need it is disturbing.

If an independent retirement company took people's money and gave them nothing back it would be against the law. I wonder what government employees will go to prison for the fraud that is Social Security?

Yup. It's quite the mess.

Star_Cards
01-28-2011, 03:57 PM
is it true that they dip into the social security funds for money for other programsa dn leave IOUs?

shortking98
01-28-2011, 04:06 PM
is it true that they dip into the social security funds for money for other programsa dn leave IOUs?

I'm pretty sure they did in the past when social security ran a big surplus

elocin
01-29-2011, 12:18 AM
Now its 2037?
A year or so ago it was 2048. At one time 2042.... Who really knows? I know I dont honestly expect any of that money when I'm of age.......

In 2006 there was about 180 billion excess in Social Security taxes paid and there was no deficit went Clinton left office. In fact, we had a surplus.... Go figure...

For over 60+ years they've been tapping into SS money. Its never been safe... Either we get some more credit from the Chinese or tap into SS money.... Sad....

Star_Cards
02-01-2011, 10:29 PM
this is why I would welcome the privatization of the system. Ideally I think it would be great to have individual accounts for each person that pays into social security. Maybe each person gets a percentage of their soc sec tax into their own account and the rest goes into the community pool... no idea if that would be feasible or not but I like the idea of having ownership of some of my soc sec tax money.

I'm not sure how any of this money was touched for other projects. Kind of sick that politicians could use it as a bank for their projects.

pghin08
02-02-2011, 10:47 AM
is it true that they dip into the social security funds for money for other programsa dn leave IOUs?

They continue doing it to this day, in a significant way.

OnePimpTiger
02-02-2011, 01:16 PM
this is why I would welcome the privatization of the system. Ideally I think it would be great to have individual accounts for each person that pays into social security. Maybe each person gets a percentage of their soc sec tax into their own account and the rest goes into the community pool... no idea if that would be feasible or not but I like the idea of having ownership of some of my soc sec tax money.

Why should there be a group pool? Why is it federally mandated that you must pay for everyone's retirement? The government has no right being in the retirement arena to begin with. A case can be made for welfare...I don't agree with it (at least in its current incarnation), but at least there is a logical argument for it. There is no logical argument as to why a person's retirement should be handled by the federal government. What right does anyone have to being paid once they reach a certain age? If you want to retire at some point, save your money until you can. If you can't or won't save your money, I'm sorry, but it's not the government's and especially not my or anyone else's responsibility to do it for you.

Now, aside from the fact that fundamentally it should not exist, there is also the practical issue of letting the most ineffective and inefficient organization in the world run it. Our government is running a $1.5 trillion deficit this year alone...would you invest your money in a company with that kind of performance. I can definitively say no you wouldn't for one simple reason...it would cease to exist long before it could ever reach that kind of failure. Why pay into a system that performs terribly and will most likely not even be around when you need it instead of investing your money into something that not only will most likely at least give you your money back, but could also *GASP* provide a return on your investment?

And that's not aimed at you...I just tend to go off on the subject pretty easily.

duane1969
02-02-2011, 06:16 PM
Why should there be a group pool? Why is it federally mandated that you must pay for everyone's retirement? The government has no right being in the retirement arena to begin with. A case can be made for welfare...I don't agree with it (at least in its current incarnation), but at least there is a logical argument for it. There is no logical argument as to why a person's retirement should be handled by the federal government. What right does anyone have to being paid once they reach a certain age? If you want to retire at some point, save your money until you can. If you can't or won't save your money, I'm sorry, but it's not the government's and especially not my or anyone else's responsibility to do it for you.



+1

You get out what you paid in. Group pools are just another form of welfare and I am tired of footing the bill for the "have nots". If you did not work and pay into the SS program then you have no right to draw out of it.

-----------------------------------------------

Part of the problem is the poeple who are drawing out of SS and have nothing paid into it.

For example. I have mentioned before an in-law of mine who has not worked a day in her life. She got pregnant at 16 and started drawing welfare. By the time she hit 20 she was around 250 lbs. By 25 she had hit 400 lbs. She went to a doctor who gave her a "medically unfit for work" form and she now draws Supplemental Security Income (SSI) for disability which is funded by the Social Security system. So now for the rest of her life she gets a twice monthly SSI check, food stamps and Medicare for free, all because she is too fat to work.

I imagine there are hundreds of thousands of people just like her who never worked a day and are milking the system dry while folks like us who work hard have nothing to fall back on when we retire. Thank god my employer offers a private retirement option.

Star_Cards
02-02-2011, 11:11 PM
Why should there be a group pool? Why is it federally mandated that you must pay for everyone's retirement? The government has no right being in the retirement arena to begin with. A case can be made for welfare...I don't agree with it (at least in its current incarnation), but at least there is a logical argument for it. There is no logical argument as to why a person's retirement should be handled by the federal government. What right does anyone have to being paid once they reach a certain age? If you want to retire at some point, save your money until you can. If you can't or won't save your money, I'm sorry, but it's not the government's and especially not my or anyone else's responsibility to do it for you.

Now, aside from the fact that fundamentally it should not exist, there is also the practical issue of letting the most ineffective and inefficient organization in the world run it. Our government is running a $1.5 trillion deficit this year alone...would you invest your money in a company with that kind of performance. I can definitively say no you wouldn't for one simple reason...it would cease to exist long before it could ever reach that kind of failure. Why pay into a system that performs terribly and will most likely not even be around when you need it instead of investing your money into something that not only will most likely at least give you your money back, but could also *GASP* provide a return on your investment?

And that's not aimed at you...I just tend to go off on the subject pretty easily.

well my group pool thought would be for the people retired and drawing soc sec or soon to be retiring. Those people would probably have to be grandfathered in as they wouldn't have had any time to accumulate their own accounts. You don't have any arguments from about people handling their own retirements. I'm only 35 and would have loved to have that soc sec tax that I've paid over the last 20 years.

I also will say that in the existing system they'd more than likely be able to make the money grown much better if an outside firm handled the accounts.

Star_Cards
02-02-2011, 11:33 PM
Another flaw to the system is the fact that some people pay in all of their lives and pass away before they are even able to get any of that back. I guess in theory that's part of the insurance sort of thing about the system... people paying in that won't take payments out, but having my dad pass away before retirement it stinks that he paid in so much money and won't see a dime go to him or his family.

sanfran22
02-02-2011, 11:45 PM
Another flaw to the system is the fact that some people pay in all of their lives and pass away before they are even able to get any of that back. I guess in theory that's part of the insurance sort of thing about the system... people paying in that won't take payments out, but having my dad pass away before retirement it stinks that he paid in so much money and won't see a dime go to him or his family.
The spouse doesn't get it?