Social Security Is Staring at Its First Real Shortfall in Decades
By News
Published 5 years ago on
June 13, 2019
Share
[aggregation-styles]
The New York Times
The New York Times
A slow-moving crisis is approaching for Social Security, threatening to undermine a central pillar in the retirement of tens of millions of Americans.
Next year, for the first time since 1982, the program must start drawing down its assets in order to pay retirees all of the benefits they have been promised, according to the latest government projections.
Unless a political solution is reached, Social Security’s so-called trust funds are expected to be depleted within about 15 years. Then, something that has been unimaginable for decades would be required under current law: Benefit checks for retirees would be cut by about 20 percent across the board.
“Old people not getting the Social Security checks they have been promised? That has been unthinkable in America — and I don’t think it will really happen in the end this time, because it’s just too horrible,” said Alicia Munnell, the director of the Center for Retirement Research at Boston College. “But action has to be taken to prevent it.”
Next year, for the first time since 1982, the program must start drawing down its assets in order to pay retirees all of the benefits they have been promised, according to the latest government projections.
Unless a political solution is reached, Social Security’s so-called trust funds are expected to be depleted within about 15 years. Then, something that has been unimaginable for decades would be required under current law: Benefit checks for retirees would be cut by about 20 percent across the board.
“Old people not getting the Social Security checks they have been promised? That has been unthinkable in America — and I don’t think it will really happen in the end this time, because it’s just too horrible,” said Alicia Munnell, the director of the Center for Retirement Research at Boston College. “But action has to be taken to prevent it.”
By Jeff Sommer | 12 June 2019
RELATED TOPICS:
Jewish Lobby Presses California Lawmakers to Combat Antisemitism
Politics /
1 day ago
Opinion: How Urban Renewal Ruined Everything
Opinion /
1 day ago
Alabama Mercedes Employees Overwhelmingly Vote Against Joining Union, Slowing UAW Effort in South
Business /
1 day ago
Stock Market Today: Dow Finishes Above 40,000 to Cap Wall Street’s Latest Winning Week
Economy /
1 day ago
The Latest | Dozens of Israeli Protesters Attack a Truck in an Apparent Effort to Block Gaza Aid
World /
1 day ago
Latest
Videos
Politics /
1 day ago
Jewish Lobby Presses California Lawmakers to Combat Antisemitism
Opinion /
1 day ago
Opinion: How Urban Renewal Ruined Everything
Business /
1 day ago
Alabama Mercedes Employees Overwhelmingly Vote Against Joining Union, Slowing UAW Effort in South
Economy /
1 day ago
Stock Market Today: Dow Finishes Above 40,000 to Cap Wall Street’s Latest Winning Week
Video /
3 days ago