Skip to comments.Social Security Warns Benefits Could Get Cut
Posted on 10/08/2013 6:49:13 AM PDT by SkyPilot
The Social Security Administration has begun warning the public it cannot guarantee full benefit payments if the debt ceiling isnt increased.
When asked by the public, the agency is notifying beneficiaries that Unlike a federal shutdown which has no impact on the payment of Social Security benefits, failure to raise the debt ceiling puts Social Security benefits at risk, according to a person familiar with the agency directive.
The warning was assembled after the agency consulted with the Treasury Department, which would play a lead role in determining how the government handles payments if the borrowing limit isnt raised soon.
Our employees started receiving questions from the public, so the agency worked with Treasury to provide an answer they could use when asked about the debt ceiling by the public, a Social Security Administration spokesman...
(Excerpt) Read more at blogs.wsj.com ...
However, those getting SS have every reason to be concerned.
If the debt ceiling is not increased, Congress cannot enforce prioritzation payments.
Even though Sen Paul (R-KY) is saying that the Senate has passed language calling for debt interest payments, Medicare, and Social Security to paid first, the Treasury could delay or withhold (in whole or in part) entitlement checks.
The adminstration can redeem bonds in the Social Security "Trust Fund" so the Federal government can borrow more money to pay Social Security checks without increasing the debt ceiling, but there is no law that says they have to.
It may be political suicide to do so, but if the Administration thinks it could gain by poisoning the well, they could.
The courts would uphold that decision as well, since the Supreme Court ruled in the Flemming v. Nestor (1960) decision that Social Security is not a contractual right.
The occupier in the WH , wants max pain for the most people. If he can blame it on the GOP he’ll withhold SS payments to grandma in a heartbeat.
This is just political bullshit. Just as we find out the Government has hundreds of thousands of NON ESSENTIAL employees with this bogus shutdown, we know the Government has thousands of NON ESSENTIAL programs and departments. But threatening to cancel them does not scare people into doing what the Government wants so they threaten social security.
Although millions of American get their monthly SS check, millions more do not.
Our nation is now incredibly polarized. Every group seems to be against another, and it is every man or woman for himself or herself.
I have never seen it so bad. On their very board, you will jackals and wolves come out salivating with fangs sharpened about some lowly and low paid FBI secretary who got furloughed, screaming that they hope she starves, rolls over, and dies.
People will also shout from the rooftops that "We are broke! Cut! CUT! CUT!!!
But when you proposed cutting their program or check (Social Security, Medicare, SS Disability, etc) then you will get an earful.
This is a big deal PR-wise-effects the most people, most likely. Most of those over 65 are VERY dependent on Soc. Sec., maybe not right away...
sound and fury signifying nothing
Because the Supreme Court ruled in Fleming vs. Nestor that the government is not contractually obligated to pay Social Security benefits, people who think they are entitled to their SS benefits because they paid into the fund may be sadly surprised. You only get benefits if Congress authorizes payment, and that can change at any time.
Who but the Leftists who have been using SS contributions as a piggy bank to fund all their give-away programs thought this was a good idea?
According to ABC, 70% of Americans blame the Republicans for all this.
Any warnings about cuts in welfare, food stamps, Medicaid, Section 8 housing vouchers and other programs where the recipients have made no contributions to the funding of the programs?
They always use SS are the scare tactic and never threaten to cut welfare programs.
But threatening to cancel them does not scare people into doing what the Government wants so they threaten social security.I was wondering when this threat would be re-initiated. We made our new elevated rent last month, but with SS included.
Considering that 100% of ABC’s stories blame republicans I am shocked that only 70% of their poll responders do. Maybe they are losing their touch.
but....it’s in a SECURE TRUST FUND with MY name on it....right??
Life is a lot tougher when you depend on the government.
Unfortunately the majority still get their info from the water carrying alphabet networks. I think as stories of WWII vets being denied access to open air monuments and roads facing Mt Rushmore are coned off so people can't take pictures , people will realize this is 0bama's doing. As Zero shows himself to be the fascist thug dictator we all know he is , people on the fence will start waking up. The WWII monument incident was a PR disaster for the regime.
I think it was Bernanke that said, when questioned about the future of social security -
we can guarantee the money will continue,
but we can’t guarantee that the money will buy anything.
The 3 worst actors in terms of our debt and deficits are Medicare, Social Security, and Medicaid. Of those 3, only Medicaid is unearned.
Add ObamaCare to the list very shortly.
Moreover, the average Medicare recipient reaps 3 times the benefits of what they paid in, with women reaping more than men (on the average).
Food Stamps (1 in 7 Americans now on the rolls at a cost of $135 Billion per year) is also completely out of control.
Sequestration cut discretionary spending, of which the military took a massive disproportionate share (17% of the budget yet must pay 50% of all cuts).
Sequestration did NOTHING to tackle our out of control Entitlement spending. Entitlement were exempt from cuts.
The list of unearned Entitlements is almost obscene.
I wish SS was voluntary.
You betcha. There is a "lock box" with "your money" in it - so don't worry.
No. Only for certain people.
Social security, veterans benefits, national parks and the military will be cut.
The Obamaphones and EBT cards will still work. Golfing and vacations will continue for the First Family.
Normally you and I agree on a lot, but I must take exception here.
Social Security is not an entitlement program.
I paid for it - to the tune of 15% in some years and 12.5% in others. I paid so much in FICA that I maxed out for more than 20 years of my working life.
That’s *MY* money, taken from me forcibly by the Gubmint.
I want it back.
>>>All of the entitlements need to be cut. Including SS.>>>
They’ve succeeded! They have us fighting among ourselves.
How nice for you that you’ve made enough money so that you can go galt and not pay taxes. Most of us paid S.S. all our working lives and were promised S.S. in our old ages. $50 paid in S.S. in the 1950’s would have paid for food for a family of five for a week. Today it pays for a tiny fraction of the food bill. And, yes, we managed to do without anything not necessary to survive, and put some aside for our old age, but the banks are not paying interest on our savings and food prices, etc. continue to rise.
You don't know how correct you really are.
Yep, all of them. And many of those on SS DBL need to be tossed off it if they are able to work.
Sure, let's cut social security - even though people paid tens of thousands of dollars into it their entire working lives.
But let's continue Obamaphones. How can you have a flashmob without them! and let's continue EBT cards. The casinos and strip joints will go broke without them.
Of course, you want it back.
You probably won't get it back, though.
I did some calculating when I got my first SS check last year.
I need to live to around 115 to break even.
I’m choosing to regard it as a challenge.
I'll be rooting for you. 115 or bust.
A challenge it will be with the zerocare death panels in place.
Only Republicans will be hurt as no Democrats receive SS checks./s So, bring it on Obozo!!
Not only you but your employer contributed as well. You and I worked our whole lives for it and we did not have a choice - it was a forced contribution. If the government had treated it like such, and not added disability, etc to it would be solvent.
I suspect the WH occupier will make an exception for 'disability' checks - otherwise Detroit will stop functioning.
SS is not an entitlement. It is money you were forced to pay into a broke system and are just getting part of it back. It is also not a benefit either. You wouldn’t consider a tax refund as an entitlement or benefit.
Clinton & Gore sure referred often enough to ‘my LOCKBOX’.
Is there a single politician in the entire country who tells the truth to citizens???
And in a “locked box”, Buckeye.
“The occupier in the WH , wants max pain for the most people. If he can blame it on the GOP hell withhold SS payments to grandma in a heartbeat.”
I was going to say something like that, but you said it better.
You are correct.
We paid into the system what the GOVERNMENT EXPERTS required us to.
We did NOT set the rates or the top of the thresholds.....they did.
We are NOT setting the rate of return we are now receiving-—they are.
Telling me that I paid & my employer paid INVOLUNTARILY into that system for over 50 years & now telling me I am not allowed to collect anything is just plain stupid. \
I have been self-employed for over 25 years of those 50 years, so I had to pay BOTH halves—15.3%—and that came out of my earnings before I paid mortgage payments or anything else.
I see your point but to call it an entitlement is pushing it. An entitlement basically means the government passed a law “entitling” you to certain things (such as SS) but you paid for it - you are entitled to your own money. Kinda sounds weird.
I am going gault:......may all your worldly goods, 401k, cd’s, and all your monetary investments be confiscated (taken away) by yer darlin prezident Obama
>>>Your money was stolen and spent. It’s not there. It sucks, but that’s reality.>>>
Your original post said to stop S.S.
Since it was stolen from the people, let it be deducted from Zero’s million dollar vacations, etc. and deposited it in a “locked box” for re-payment to the S.S. payers. It’s OURS and we should be screaming for it back.
To ALL: Inform the House that they should be demanding repayment to the people who paid S.S. and are now suffering from the government theft of our money. The Obama phones alone cost the S.S.payers several million.
And everybody will fight for their share.
However there is not enough to go around.
This is the hallmark of a bloated semi-socialist government that has exhausted it's resources.
Feckless representatives chosen for their unsustainable promises will not change their spendthrift ways until they are forced to stop.
How about revealing what YOUR age is?
I would like to know how far into paying SS in your paycheck you are.
And there isn't anything to take from me. Government got it all.
Food this week consists of homemade bread, feral pig, venison, home-grown eggs, and veggies from the garden.
You don't have to be rich in money to go Galt.