Social Security Is Running Out of Money (In deficit for 2010, 9 yrs earlier than predicted)

Real Clear Markets ^ | 03/30/2010 | Investors Business Daily.

[Atlas Sneezed]

If you owned $1,000,000 in U.S. Treasury Bills, you would say you had a million dollars.

---

If I owned a million dollars of IOUs I wrote to myself, I wouldn’t have anything, except perhaps for the ability to earn or borrow (or steal) to make them good.

[spectre]

I know a 45 yr old woman who is collecting 100% Disability for her "Fibermyalgia"..and additional benefits for her children.

She gets her hair and nails done..goes and works out at the gym and is planning a trip to Las Vegas next month.

She's healthy as a work horse but found out how to work the system. AND there is no way to prove she doesn't have fibermyalgia since there are no tests for it.

Ka-Ching!

[GOPJ]

I knew a person who told me that all her 11 bothers and sisters were collecting social security disability. This person really deserved it but a brother said to "go mental" because it was impossible to disprove.

At the time all 12 of them were under the age of 45... collecting full benefits for themselves for possibly another 40 to 45 years. In short, that one family will collect more in benefits than over a thousand American workers collecting at full retirement age...

And dems? Liberals?

What's the liberal "solution"? To make Americans who play by the rules work longer - to bankrupt the system for honest young people forced to put money into a corrupt system - and to set citizens against those who really are disabled.

It's a sad situation.

[GOPJ]

I knew a person who told me that all 11 bothers and sisters were collecting social security disability. This person I knew really deserved it but a brother said to "go mental" because it was impossible to disprove. My friend was sickened by the comment.

At the time all 12 of them were under the age of 45... collecting full benefits for themselves for possibly another 40 to 45 years. In short, that one family will collect more in benefits than over a thousand American workers collecting at full retirement age...

And dems? Liberals? They're very quiet about this...

What's the liberal "solution"? To make Americans who play by the rules work longer - to bankrupt the system for honest young people forced to put money into a corrupt system - and to set citizens against those who really are disabled. And to set the young against the old. It's twisted - evil - sad.

Yes, I hate liberals.

[Pikachu_Dad]

Since there is NO trust fund, as soon as they go in the red, THEY ARE OUT OF FUNDS.

They can only continue to operate with additional tax dollars.

[Grampa Dave]

"No sooner had House Speaker Nancy Pelosi, carrying the gavel used when Medicare was enacted, taken a victory lap around the Capitol Building after passage of the health care bill than did the chief actuary of the Social Security Administration report that his part of the social safety net had a big hole in it and would run a deficit for all of 2010.

Pictured below is Pelosi with that oversized gavel:

House Speaker Nancy Pelosi and other grinning rat hyenas took a muted victory lap today after the historic House vote on health care reform. In the meantime we can boycott gay Frisco, since they keep Pelosi in congress:

We will never be able to defeat Pelosi, the Mafafi witch, due to the love affair between her and the gay agenda pushers/voters in Gay Frisco.

However, Gay Frisco can be brought to its financial knees.

Gay Frisco is having a severe economic meltdown due to the benefits for union thugs and illegals.

If every American Adult, who dislikes the Health Care farce pushed on us by Pelosi, boycotted San Francisco re visits, meetings and products, we can make that liberal gay hell hole a miserable place to live and try to work in.

Boycott Ghiradelli Chocolates!

Boycott Trans America Financial Products:

Boycott Charles Schwab Financial Services/Products, 211 Main St, San Francisco, CA 94105

Boycott Gap Products/companies: Levi Strauss/Dockers Gap Inc./Outlet , Banana Republic, Gap, Old Navy

Boycott Williams-Sonoma | Headquarters 3250 Van Ness Ave., San Francisco, CA, 94109 Williams-Sonoma is the premier retailer of premium cookware and accessories in the United States.

[algernonpj]

“Stephen C. Goss said that payments rose “unexpectedly” during the economic downturn as jobs disappeared and people feeling no hope and seeing little change opted to apply for benefits sooner than planned. Revenues also shrank due to fewer paychecks to tax. “

Plus Social Security has been depleted by numerous add-ons such as SSI and Disability, which are liberally used by both legal immigrants and illegal aliens.

[uncommonsense]

Richard W. Fisher, President of the Dallas Federal Reserve Bank: Storms on the Horizon, May 28, 2008

"Add together the unfunded liabilities from Medicare and Social Security, and it comes to $99.2 trillion [snip]

I want to remind you that I am only talking about the unfunded portions of Social Security and Medicare. It is what the current payment scheme of Social Security payroll taxes, Medicare payroll taxes, membership fees for Medicare B, copays, deductibles and all other revenue currently channeled to our entitlement system will not cover under current rules. These existing revenue streams must remain in place in perpetuity to handle the “funded” entitlement liabilities. Reduce or eliminate this income and the unfunded liability grows. Increase benefits and the liability grows as well."

[DannyTN]

"Since there is NO trust fund, as soon as they go in the red, THEY ARE OUT OF FUNDS. They can only continue to operate with additional tax dollars."

The U.S. treasury has to pay off those Treasury bills that were issued to Social Security one way or the other. Just like they have to pay off the Treasury bills issued to you and me or Japan or China.

The U.S. can either:

1. pay it off with tax dollars
2. or they can raise funds by issuing new debt. Just like refinancing a balloon mortgage or any kind of mortgage. Someone has to buy that new debt.

   If it's individuals or other countries or companies, the interest rate has to be high enough to attract buyers. Right now there are so many buyers that interest rates are extremely low.

   But they aren't dependent on others. The Federal Reserve can also buy that debt simply by issuing new dollars. For this reason, the U.S. gov't will not default on it's debt, because the debt is denominated in our own currency.

   If the Fed Reserve does does buy the debt, that does increase the money supply. But you always want a slight increase in money supply to encourage investment and to keep up with population growth and supply of goods growth. Plus in this deflationary environment with a credit squeeze and dropping values, increasing the money supply is a good thing.

   And if the money supply goes up too much, then it causes inflation and it represents a hidden tax on us all, as prices rise due to the supply of dollars.