[Cheerio]

Social Security Is Bankrupt Now, Not In 25 Years

But but but..........SENATOR HARRY REID: “People have to stop badmouthing social security. Social security according to CBO, according to the general accounting office, is ok for the next 40 years. And even after that, people will draw 80 or 85 percent of the benefits if we do nothing. So I think we should just stop frightening people about how bad of shape social security is in.” (“Face To Face With Jon Ralston,” 7/9/10)

How can anyone with even half a brain be a DemocRAT?

[justlurking]

I'm sure you already know this, but just to clarify:

Social security according to CBO, according to the general accounting office, is ok for the next 40 years.

Lie's #1 and #2:

First, it's the Social Security Trustees that make this determination, in an annual report (which has been conveniently delayed this year).

Second, last year's report says that the "Trust Fund" will be exhausted in in 2027, which is 27 years from now.

And a bonus lie by omission: the "Trust Fund" is invested in special long-term US government bonds. So, those bonds have to be redeemed by the Social Security Administration. Where do you think the money for those bonds is going to come from? If you guessed "current tax revenues", you win the prize!

And even after that, people will draw 80 or 85 percent of the benefits if we do nothing.

Lie #3:

The projection is that incoming taxes will provide 75% of benefits through 2084.

Last year's report is here: http://www.ssa.gov/OACT/TRSUM/index.html

I would expect Reid to be better informed.