Is Donald Trump Coming for Your Social Security?
In case you haven't heard, Social Security is currently in quite the bind. According to the 2019 Social Security Board of Trustees report, the most successful social program in our nation's history is facing an estimated cash shortfall of $13.9 trillion between 2035 and 2093 due to a number of ongoing demographic changes.
Worse yet, the magnitude of this shortfall has been widening annually, with the program projected to expend more money than it collects in 2020. This would be the first time Social Security has finished the year with a net-cash outflow since 1982.
The good news, if any is to be pulled from this mess, is Social Security can't go bankrupt. Even if every cent in the program's asset reserves is depleted, Social Security's two recurring sources of income -- the 12.4% payroll tax on earned income and the taxation of benefits -- would ensure that payouts continue to eligible beneficiaries. No matter what happens, eligible retired workers will receive a benefit from Social Security, whether they're set to retire in five years or 50 years.
Source Fool.com
