Hello Everyone; I browse the Internet almost everyday and I keep seeing PREDICTIONS that Our Social Security will or might COLLAPSE
I keep seeing PREDICTIONS that Our Social Security will or might COLLAPSE sometime between 2017 or 2037 ,, then there Will or Might be NO more Social Security Payments and also NO more Medicare Insurance .
How TRUE might those Predictions be ???
I go to sleep less and less now a days worrying maybe tomorrow some GOVERNMENT envoy will be on TV telling us there NO more $$$ to Pay for our Social Security Monthly Checks and NO more $$$ to Pay for our Medicare Insurance .
Is there ANY !! possibility that this MIGHT ever happen here in our USA ?????
I live in a MobileHome and I Own the Land under my home but I also live in this Seniors Only Park and we pay almost $200 monthly for our HOF fees .
I also pay my Electric and Gas and Phone and Internet Costs .
Then I am still Lucky enough to have some $$ to buy my Food .
Some of the People I use to know thought I was STUPID and that I should have bought a REAL Home with a Backyard, but NOW a lot of those people have Lost their REAL Homes and their Good paying Jobs .
If there is any other way to live more Cheaply than I now do then please tell me that Secret.
Answers | 6
The short answer to your question about whether Social Security will collapse between 2017 and 2037, the answer is no. Social Security will not collapse as long as the US Government is in place, as these payments are federal obligations. However, the Social Security Trust Fund -- into which all workers contribute through payroll deductions -- will be severely strained during those years, as greater numbers of people retire than come into the workforce to make new contributions.
The real question isn't "Will the Social Security system collapse?" Rather, the real question should be "Will it be able to fund 100% of future benefits without significant reform?" And the answer to that question, quite simply, is no. Unless our leaders in Washington can set aside partisan bickering to reform Social Security over the next 10 years or so, benefit payments and/or cost of living increases will need to be reduced to keep the Trust Fund solvent. Whether such benefit reductions would be 5% or 20% is impossible to say right now. For example, rather than cut benefits, our future leaders might choose to raise payroll taxes on workers instead.
Most experts predict that our leaders will come together to reform Social Security, if only because they fear the wrath of the seniors, who vote in greater numbers than any other demographic group. Is this a real problem? Absolutely. Should you lose sleep over it? No, you shouldn't. Social Security will be there when you need it, although it might look different than what it does today.
Michael Dubrow, serial entrepreneur, is co-founder of MoneyTips, and Estalea Private Equity.