The government has created an enormous, unpayable unfunded liability for social security and medicare. When the Budget was unified by Lyndon Johnson Social Security became classic Ponzi scheme. It is fraud, pure and simple. Social Security taxes pay for current recipients and contribute to the general fund. Over $2.6 trillion that people have thought they were contributing to their retirement was spent as part of the general government expenditures.
Because total government spending is too great to be supported by the tax revenues this economy can generate the only way to fund current government expenditures is through massive borrowing(about $1.5 trillion per year every year).
This is unsustainable. When people stop buying trillions of dollars per year of our bonds the “special issue” bonds in the so called Social Security Trust Fund will be totally worthless. They are totally worthless now but people just don't realize it yet.
There is no trust. There are no funds. The money has all been spent.
It is the greatest single fraud in the history of human civilization.
Not quite. The left hand, owing the right hand, will just print cash and hand that over. Hyperinflation is the eventual result of this policy.