3 Surprising Problems With Social Security

There's little question of the role Social Security has played in helping to provide a financial foundation for our nation's retirees for the past eight decades. This is a program that, today, keeps more than 22 million people each month out of poverty and is responsible for providing at least half of the monthly income collected by 62% of retired workers.

But it's also a program that's in some pretty serious trouble, according to the Social Security Board of Trustees. The annually released Board of Trustees report has been cautioning lawmakers since 1985 that there wouldn't be sufficient revenue collected over the next 75 years to cover expenses. In other words, Social Security's asset reserves would be depleted, and a sizable cut in benefits would be needed to sustain payouts. In the latest report, the Trustees have forecast a depletion of Social Security's $2.9 trillion in asset reserves by 2035, leading to the possibility of an up to 23% reduction in retired-worker benefits.

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Source Fool.com