Do You Have Too Much Faith in Social Security?
Some people are of the impression that Social Security is going away. The program is facing some pretty big financial challenges that could result in benefit cuts.
However, at this point, the worst-case scenario has Social Security reducing benefits to the tune of about 20% from what it's scheduled to pay. The program's Trustees are not sounding warnings about Social Security disappearing completely, so that's good news for current and future retirees alike.
But while it's important to recognize that Social Security is not at risk of going away, it's also important to have realistic expectations when it comes to the benefits you're in line for. And if you overestimate the amount of income Social Security will provide you with, it might lead to a world of financial stress once your retirement rolls around.
Source Fool.com
