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> The meaningful number is 2033, the year Social Security is projected to run out of money. This comment is excellent, except for one clarification: "Social Se
by matthewdgreen 5y ago
> The meaningful number is 2033, the year Social Security is projected to run out of money.
This comment is excellent, except for one clarification: "Social Security" is not going to run out of money. The "Old-Age and Survivors Insurance Trust Fund" will run out of money in 2033 (the disability insurance fund is solvent until 2057). After this happens -- and assuming no action by Congress -- Social Security will still be able to pay 76% of benefits to retirees based solely on payroll taxes collected. This isn't a great outcome, but it's far from insolvency.
- platz 5y agothe government can't be insolvent to by owing money to itself.
- jfengel 5y agoThat specific fund can be insolvent. It's a specific pot of money set aside for the purpose. The government can fill it, but it will need to pass laws to do so.
- throw0101a 5y ago> Social Security will still be able to pay 76% of benefits to retirees based solely on payroll taxes collected. 78% actually. See Figure II.D2: * https://www.ssa.gov/OACT/TR/2021/tr2021.pdf https://www.ssa.gov/OACT/TR/2021/tr2021.pdf It falls to 74% by 2095.