Looks like Bernie Madoff isn’t the only fraud that the current recession will expose… Social Security looks pretty shaky.
According to the Congressional Budget Office, the Social Security surplus will only be $16 billion this year, and only $3 billion next year. In total the recession will shave $150 billion off of the surplus over next three years.
No problem, we’ve been building up the Social Security Trust Funds for just this reason, right?
Ooops – that $2 trillion in surplus since 1983 saved in “trust” is pure fantasy that was spent as fast at it came in:
So in 2018, when the Social Security program tries to redeem these bonds, the Treasury (having already spent that money over the previous 35 years) won’t be able to repay Social Security from any pre-existing store of cash. Taxpayers will be forced to pay extra taxes in order to fund Social Security’s 40 million retiring baby boomers.
Except that “2018” isn’t the actual date. The recession pushed it up to next year.
Expect Obama to “fix” this by raising the FICA rate and FICA limit. The Ponzi scheme must keep on rolling!
Our leaders are absolutely insane frauds. They deserve gulag not comfortable Congressional pensions.
March 27th, 2009 at 2:04 pm
Wait, our leaders are giving us just what we say we want – a promise of a free lunch. If you must spew invective, aim it at the people who elected those leaders.
March 27th, 2009 at 2:10 pm
Sure, some of the people are to blame. We call them Democrats.
March 27th, 2009 at 2:46 pm
[...] grow to $1.5 million in my 401(k) and then drop to $750,000 in the last few months, then to have seen it wasted by my government as they have indeed done. Now I’m out $400,000, and my 401(k) that I was able to save [...]
May 2nd, 2011 at 7:31 pm
Social Security is the most successful US government program ever created in the back rooms of Congress, by the 1930′s Socialist New Dealers.
Moreover, both Social Security and Medicare shall be the most successful frauds ever created for the both Boomers and all of our descendents, who were born after about 1965.
Read More;
http://www.socialsecurityponzischeme.com/