[Bernard]

$60 trillion in unfunded liabilities

If the unfunded liability is $60 Trillion today, there is no way short of bancruptcy to settle that. I can only imagine what the tax increase would have to be in order to make the country whole.

[kabar]

Bankruptcy is not an option. SS has an unfunded liability of $12.8 trillion. If we shift to personal accounts we can eliminate that future USG liability, but there will be transition costs. The problem with the entitelment programs is that they are on automatic pilot when it comes to increases, which are tied to specific formulae and not on the avialability of funds. The prescription drug program has added a massive amount of new obligations.

Benefits will be cut and taxes increased. I can see means testing being added to the mix. Medicare Part B is already being means tested somewhat with two different premiums depending on income level.