Will You Get Your Social Security Check if the U.S. Defaults? http://finance.yahoo.com/news/column-social-security-check-u-165329775.html Should seniors and disabled American really be worried about their benefits if the U.S. government runs out of borrowing capacity later this month? The answer is yes - but only if the Obama administrationinsists on making Social Security a pawn in the debt ceiling battle. And that's a move it has no business making. Social Security is a stand-alone program with its own dedicated revenue stream: Workers and employers pay a combined 12.4 percent of employees' payroll. It was designed to be a "payas you go" program, with taxes on today's workers funding current payouts to retired and disabled workers and their dependents. Those funds can't be used for anything other than benefits. Social Security currently has a surplus of $2.7 trillion.This year it is on track to take in $38.8 billion more in revenue than it will pay out, according to the forecast of the program's trustees. These funds sit in something called the Social Security Trust Fund (SSTF). (more at above url)
Let obama decide if he's going to pay interest on the national debt or social security. I'd like to see the choice he'll make.
Yes, but the current surplus is $2.7 Trillion - there is no reason for the Obama administration to eliminate social security payments today in order to inflict more pain on the American people. I agree from the long term perpsective that SS is underfunded. This is because the federal government has continually raided the trust fund.
Thought for the day...... We are always hearing about how Social Security is going to run out of money. How come we never hear about Welfare running out of money? And the recipients never even contributed one red cent! Just asking.