Combined Social Security Trust Fund only 13 years away from insolvency, trustees report
(Worthy News) – The national debt is around $123 trillion (more than four times what the Treasury Department reports) when accounting for factors like amounts owed in unfunded Social Security and Medicare benefits, Truth in Accounting argues.
The combined Social Security Trust Fund is only 13 years away from insolvency, according to the latest annual report published by its trustees, because of large, rising imbalances and deteriorating finances, among other factors.
Created by FDR’s New Deal, the Old-Age and Survivors Insurance (OASI) Trust Fund — the nation’s largest social welfare program — will deplete its reserves by 2033, while the Social Security Disability Insurance (SSDI) trust fund will become insolvent by 2057. These two funds combined are expected to exhaust their reserves by 2034, when individuals currently age 54 will reach their full retirement age. Once the Social Security Trust Fund becomes insolvent, all beneficiaries would see their benefits cut by 22%, unless Congress implemented policy changes before then.