Social Security; unsustainable

[Peter1469]

Link (http://www.nypost.com/p/news/opinion/opedcolumnists/trillion_timebomb_mvsmAXklWMkT6fvOMcbGRO#ixzz20kKr MNlN)

The program needs to be fixed before it sinks us.



The proof is buried deep in the trustees’ own 2012 report in a complex table, numbered IV.B6. Table IV.B6 is a long-run balance sheet for Social Security. It shows that the system’s $88.9 trillion in liabilities exceed its $68.4 trillion in assets by $20.5 trillion.


The $20.5 trillion fiscal gap separating Social Security’s liabilities and assets — its unfunded liability — is enormous; it is 1.4 times US gross domestic product and 34 times annual Social Security taxes.


Because $20.5 trillion is equal to 31% of the projected taxes, the system is 31 percent underfunded. To pay all promised benefits would require immediately and permanently raising Social Security’s 12.4 percent payroll tax (split evenly between employer and employee) by 31%, or 3.9 percentage points.

[Captain Obvious]

All due respect, Peter - this isn't news, SS has been underfunded for a while now. A lot of people don't understand basic fund accounting.

What terrifies me is that, in my humble and honest opinion, Obamacare is essentially a gateway to a single payer system. Imagine that, take an underfunded monster of a plan like SS and make it even that much bigger.

Isn't that a great thought?

[Chris]

Yes, we get new estimates all the time of when SS is going to go bust, but bust it will go. Forget government inefficiencies, the very fact the baby boomers are retiring now and we'll likely soon face a worker shortage alone tells you the fate of SS.


Cap, what's the relationship between SS and the Obamacaretax? I understand it's another unsustainable funding nightmare, but doesn't it grow Medicare and Medicaid, our existing socialized healthcare programs, not SS.

[Captain Obvious]

I don't know where the Obamacare tax is going to be allocated.

[Chris]

One area is abortion: ObamaCare’s Abortion Funding Rule Finalized (http://aclj.org/obamacare/obamacare-abortion-funding-rule-finalized)details this.

[Captain Obvious]

I figured there are some textbook suggestions out there where the "tax" goes, but do I expect what is promised to actually happen? Hell no.

The biggest problem with social security is that it's become a cookie jar to be raided to fund other projects because of the sheer size of it. Easy target but like anything else, chip away at it long enough and you risk collapse.

And more the reason to keep massive funded projects out of the hands of the gubmint, clearly fiscal responsibility isn't one of their strong points and that finger gets pointed across all party lines.

[Goldie Locks]

All due respect, Peter - this isn't news, SS has been underfunded for a while now. A lot of people don't understand basic fund accounting.

What terrifies me is that, in my humble and honest opinion, Obamacare is essentially a gateway to a single payer system. Imagine that, take an underfunded monster of a plan like SS and make it even that much bigger.

Isn't that a great thought?


Obamacare gate to single payer...Wow, who would have thought.

[Goldie Locks]

I don't know where the Obamacare tax is going to be allocated.


Really???

[roadmaster]

One area is abortion: ObamaCare’s Abortion Funding Rule Finalized (http://aclj.org/obamacare/obamacare-abortion-funding-rule-finalized)details this.

Next will be funding a boy that thinks he is a girl. If they don't approve the surgery they will be called racist. Now we couldn't have that could we.:angry:

[Deadwood]

All due respect, Peter - this isn't news, SS has been underfunded for a while now. A lot of people don't understand basic fund accounting.

What terrifies me is that, in my humble and honest opinion, Obamacare is essentially a gateway to a single payer system. Imagine that, take an underfunded monster of a plan like SS and make it even that much bigger.

Isn't that a great thought?

You know C.O., I'm no economist either. I know a good business plan when I see one, but that's as far as I get. But it isn't news to me either. I learned that when I went to high school in the 60's.

They still haven't fixed it...but those Senators and congressmen sure have nice pensions...


and of course, Obama will do just fine when he's unemployed too......soon

[wingrider]

as long as the SS lasts until I die,, and I get out what I paid in...its all good.

[Captain Obvious]

You know C.O., I'm no economist either. I know a good business plan when I see one, but that's as far as I get. But it isn't news to me either. I learned that when I went to high school in the 60's.

They still haven't fixed it...but those Senators and congressmen sure have nice pensions...


and of course, Obama will do just fine when he's unemployed too......soon

Right, and unfortunately that true sentiment doesn't infuriate enough of the voting populace.

[Peter1469]

All due respect, Peter - this isn't news, SS has been underfunded for a while now. A lot of people don't understand basic fund accounting.

What terrifies me is that, in my humble and honest opinion, Obamacare is essentially a gateway to a single payer system. Imagine that, take an underfunded monster of a plan like SS and make it even that much bigger.

Isn't that a great thought?

I agree that it isn't news. But people challenge it all the time. Stating it is fine, or only minor fixes are needed....

[Captain Obvious]

I agree that it isn't news. But people challenge it all the time. Stating it is fine, or only minor fixes are needed....

And these should be the running points that people should seriously consider when casting their vote.

Unfortunately PAC money dictates what the talking points are, like Bain Capital and Obama's birth certificate.

Dust and red herrings.