[John Valentine]

Right. But the asset in the SS accounts is exactly balanced out by the debt at the Treasury. The net result is that there isn't any hint of the unfunded future obligation in current budgets.

[drt1]

Bingo. But the obligation appears in the calculations of the National Debt and when it is repaid (As it must to fund the looming deficits in SS collections and benefit payments) it will not appear as a current budget deficit item. It WILL require some kind of tax level that will be higher than it otherwise would be to fund these payments.

[drt1]

To clarify my post - "It WILL require some kind of tax level that will be higher than it otherwise would be to fund these payments. These tax increases will be required in the amount of the present value of these unfunded obligations (That is the part that is hidden and that you allude to in your post ... "there isn't any hint of the unfunded future obligation in current budgets")