Social Security And The Deficit (wage, illegal, how much, dollars)

[Motion]

Some senior Democrats are claiming that Social Security does not contribute "one penny" to the federal deficit. That’s not true. The fact is, the federal government had to borrow $37 billion last year to finance Social Security, and will need to borrow more this year. The red ink is projected to total well over half a trillion dollars in the coming decade.

Those are the facts. But they haven’t stopped some Democrats from claiming over and over that Social Security doesn’t contribute "one penny" to the deficit. Examples:

Democrats Deny Social Security’s Red Ink | FactCheck.org

Ok I wonder how people's views of how much trouble social security is in or isn't in will shape the debate on reforming it?

[pghquest]

motion, the truth is somewhere in the middle..

The facts are that Social Security, usually, runs on a surplus.. They take their surplus revenues and buys US Treasuries with them, which yields a return to Social Security, and a surplus..

The left though will proclaim this isnt a drain on the Federal Deficit becaues they think very short term, they think of today, they realize that revenues from the Social Security to the Treasury, by definition, does not add to the federal deficit..

Where they fail the argument though is for those who go into the issue further to realize that while they do not contribute to the federal deficit, it does contribute to the federal debt, but yet again, only if you ignore the fact that people contributing these funds now, are essentially granted IOU's to be paid back in the future..

Since its not a "real" IOU, simply a promise to pay in the future, to those who pay taxes, yet again, its not even adding to the federal debt, but thats only if you are willing to tell everyone paying into SS that they are not owed a dime.

I find it funny that the left have no problem telling people to F off, that they are not "owed" money back, and the left follow lock in step with their lies.. Ok, lets again be real, its not a lie, because Social Security is a tax, and there is no promise to pay people back a dime they pay into SS, (which is why its an illegal ponzi scheme).

But reality says, only a fool will ignore the future tens of trillions in SS liabilities owed to the taxpayers, but yet again, thats the left, ignoring the debts being created... while pretending money borrowed isnt a debt..

Its a repeat of this thread //www.city-data.com/forum/polit...deficit-3.html

[hilgi]

Originally Posted by pghquest

motion, the truth is somewhere in the middle..

The facts are that Social Security, usually, runs on a surplus.. They take their surplus revenues and buys US Treasuries with them, which yields a return to Social Security, and a surplus..

Usually does not apply to the future, having a massive workforce and a smaller recipient group caused a surplus, those days are gone.

Also, they don't but US Treasuries (Marketable securities), they buy Intergovernmental bonds (non-marketable). The interest earned is created to the trust fund but drawn from either tax revenue (if in surplus) or added to the on-budget deficit/debt.

I am just being picky I know.

[Boompa]

Remove the cap from the wage tax and allow the rich to pay in like the rest of us. That will make Social Security solvent