Social Security is Now Firmly on the Road to Ruin— What Can You Do About It?
For years, people have been warning about social security and its insolvency. Social security has become something of an albatross around the neck of successive US administrations.
An alarming article appeared in the New York Times yesterday saying that social security is now beginning its first real steps towards insolvency. That’s right social security is facing its first shortfall in more than a generation.
You need to plan for this. If your retirement plan is based on hope and the belief that politicians will solve this, you’re taking a massive risk with your twilight years.
So What’s the Situation?
The latest projections from the government reveal that from 2022 social security now has to start utilising the so-called ‘trust funds’ it operates. It must now start drawing down on these assets, as if social security was entering retirement itself, due to the fact that the Social Security Administration will be paying out more than it receives back.
The scary thing is that social security will deplete its assets within 15 years. But to make matters worse the number of old people is increasing. By 2060, we’re expected to see the number of senior citizens double to over 98 million.
