Social Security strained by early retirements

Yahoo ^ | 9/27/09 | STEPHEN OHLEMACHER,

[Nachum]

WASHINGTON – Big job losses and a spike in early retirement claims from laid-off seniors will force Social Security to pay out more in benefits than it collects in taxes the next two years, the first time that's happened since the 1980s.

The deficits — $10 billion in 2010 and $9 billion in 2011 — won't affect payments to retirees because Social Security has accumulated surpluses from previous years totaling $2.5 trillion. But they will add to the overall federal deficit.

[rabscuttle385]

Social Security is projected to start generating surpluses again in 2012 before permanently returning to deficits in 2016 unless Congress acts again to shore up the program. Without a new fix, the $2.5 trillion in Social Security's trust funds will be exhausted in 2037. Those funds have actually been spent over the years on other government programs. They are now represented by government bonds, or IOUs, that will have to be repaid as Social Security draws down its trust fund.

President Barack Obama has said he would like to tackle Social Security next year.

You all know what this means.

BOHICA!

Higher payroll taxes, higher Medicare taxes, health care taxes and imprisonment, the Bush tax cuts expiring, more income taxes on top of that, higher property taxes to make up for lower assessments, higher sales taxes, carbon taxes, and only God knows what else.

Bachmann and Paul, at their recent Town Hall in Minneapolis were right.

The United States government has sold all of us younger Americans into slavery. All of our future income is spoken for, we are burdened heavily with debts to bail out the banks and subsidize leftist academia and its pipe dreams, and on top of that, the statists and globalists are expecting us to continue paying for their foreign interventions worldwide.

And on top of that...they want to make Government EVEN BIGGER!

"If the American people ever allow private banks to control the issue of their money, first by inflation and then by deflation, the banks and corporations that will grow up around them will deprive the people of their property until their children will wake up homeless on the continent their fathers conquered." —attributed to Thomas Jefferson

God save the Republic.

[expatpat]

The SS money is spent as soon as it comes in. Because that inflow was more than the total SS payments, the difference went into general spending. Now that the difference is disappearing, it won’t be available to general spending.

[GOPJ]

Social Security’s going broke because for years - every time a dime was dropped in the pot - it was taken out and an IOU was dropped in... They’re going to do the same thing with healthcare - with the same outcome... Broke.

[Tzimisce]

...they should raise taxes and print more money.

That’ll fix it. :)

[rabscuttle385]

You should post this to the AIP Web site. It’s despicable.

[EternalVigilance]

http://www.aipnews.com/talk/forums/thread-view.asp?tid=8419&posts=1#M24087

[rabscuttle385]

:)

[Grammy]

Mr G turns 62 next year and he is going to retire. We have a 10 year old child, so he will get up to half of Mr G’s retirement as support. Also, if I am not working and I am staying home to care for our child, I will also get up to half of his benefits.

Seems silly to keep working when we can maybe get some of our money back.

[Proud2BeRight]

It also because the first of the baby boomers are hitting the rolls. The 1946 and 1947 start of the big curve are both within the 62 year-old eligibility now. Knowing the Ponzi scheme is failing, they are jumping in at first opportunity to recover as much of the money as possible of what they had stolen from them throughout life.

[Mad_Tom_Rackham]

It’s going to be even worse after coming tax increases cause millions more to retire instead of working for the state.

[Frantzie]

I wish it was mainly seniors and baby boomers who voted for Obama who are royally screwed.

The kids who voted for him are screwed too. Well we can go back to watching college ball games and the NFL and living in a dream world. Until people shut off the TV and cancel cable and sat TV service then not a lot will change.

[JRandomFreeper]

I planned appropriately for my retirement.

I'm planting beans and corn next spring, and built a coffin out of pine. Cause I ain't gonna see any of the hard-earned cash that I 'contributed'.

/johnny

[Captain Peter Blood]

That is worthless IOU’s from Congress which means nothing, it isn’t cash.

[JRandomFreeper]

Mr G turns 62 next year and he is going to retire. We have a 10 year old child

WOW! Party on grammy! Gives us (relative) youngsters hope for the future. ;)

/johnny

[tbw2]

I would recommend keeping track of “paid me, paid me not, paid me, asked for it back”. Then get a lawyer if it keeps up. How can you live on money that may stop and even be demanded back at whim?

[Clintonfatigued]

There are no good choices here. The only things to do are continue to raise the retirement age, increase FICA taxes from 6.75% to 7%, and dramatically raise the earnings limit.

[mo]

Ya...so its like..they’ve only had 65 freekin’ years to anticipate this...and plan for it...with the resources of the mightiest country to ever exist.....fools.

[Patriotic1]

From a percentage-increased perspective, they have been dramatically raising the earning limits .