Social Security running out
Thu, 27 Jan 2011 17:52:17 GMT —
UPDATE 9:17 P.M.
When you get a paycheck, social security is taken out of it. Now there are new projections about when it will run out. The fund is expected to be drained in just 27 years, at 2037.
By that time, Potter County is projected to have more than 1,400 hundred men and woman 65 years old or older. Randall County may have more than 1,700 hundred. Last year, Social Security posted its first deficit since the program was last overhauled in the 1980s. The outlook has grown bleaker as the nation struggles to recover from its worst economic crisis since Social Security was enacted during the Great Depression. In the short term, Social Security is suffering from a weak economy that has payroll taxes lagging and applications for benefits rising. In the long term, Social Security will be strained by the growing number of baby boomers retiring and applying for benefits.
Today on Facebook, we asked if you're worried about Social Security running out and what your plans are. Michelle said: "I contribute to my work retirement, fund an IRA and some mutual funds by watching what a spend now. SSI was never set up as a total source of income anyway. It was only to be a supplement to what you save first and foremost."
Michael responded saying: "Yes I do, I have a IRA and a 401K, but it would be nice to have the money I put in on SSI to go into these funds so I can at least have something, if not for me, at least for my family!"
Serena said, "Well if it is running out of money and I won't get any, will they stop taking it out of my check?"
I ts been talked about for years so it may come as no surprise that a recent report says Social Security's finance are getting worse and will run out in about 26 years. The economy continues to struggle and millions of baby boomers are getting closer to retirement. New congressional projections show Social Security running deficits every year until its trust funds are eventually drained in about 2037.
This year alone, Social Security is projected to collect $45 billion less in payroll taxes than it pays out in retirement, disability and survivor benefits, the nonpartisan Congressional Budget Office said Wednesday. The number gets even bigger when you include the new one-year cut in payroll taxes, that brings the figure to $130 billion. Keep in mind that Congress has promised to repay any lost revenue from that tax cut. However, retirement program has been feeling the effects of the struggling economy for several years now. The program first went into deficit last year.
As the nation continues to struggle to recover from the worst economic crisis since Social Security was enacted during the Great Depression, the outlook is growing bleak. Short term, Social Security is suffering from a weak economy that has payroll taxes dropping and applications for benefits going up. Long term, Social Security will be strained by the growing number of baby boomers looking to retire.
More than 54 million people receive retirement, disability or survivor benefits from Social Security. Monthly payments average $1,076.
According to the U.S Census website, by year 2030 the State of Texas is projected to have a total of 1,506,121 men and women at the age of 65 which is when you are eligible to start collecting Social Security.
By year 2037 according to the Texas State Data Center and Office of the State Demographer, Potter County is projected to have 1,401 men and women at the age of 65. In Randall County the total number of men and women at the age of 65 is projected to be 1,726.
To read more about Social Security getting worse click here.
We are speaking with some local experts to get their take on the situation so be sure to check back later.
Does the possibility of Social Security running out worry you? Have you already made retirement plans? Weigh in with our webpoll and leave your thoughts in the comments.
The Associated Press contributed to this article.