Social Security on the Brink of Insolvency

At least it's not a fiddle.

Associated Press Report

About 13.6 million people receive federal disability benefits.

-7.6 million receive Social Security disability.

-4.4 million receive Supplemental Security Income.

-1.6 million receive both.

Oddly, the only tax President Obama seems to support is the temporary relief from the 2% social security tax, but it’s from a system that desperately needs it. It seems like the last tax he should want.

According to an Associated Press report, social security is on the verge of collapse. Social Security offers disability, retirement and welfare (SSI). Social Security disability will be bankrupt by 2017, leaving them unable to pay full benefits. By 2037, Social Security Retirement will be without funds.

The program is being hit hard by the unemployed applicants who desperately need money and are looking for funds where they can. The wait for applicants is now two years.

Aging baby boomers are placing a strain on the system.

3.3 million people will apply for disability funds this year, which is 700,000 more than in 2008 and a million more than ten years ago.

The Social Security trustees want the disability system shored up by funds from the retirement system, which would greatly weaken the retirement fund.

By 1984, Congress loosened the criteria for Social Security and claims have risen exponentially since.

Congress continues to fail to act on any substantial changes that bring solvency and the President’s idea is to take money from the system by a temporary tax relief.