I’m pretty sure this is completely false. Social Security (FICA) taxes are supposedly paid into a trust fund, but that trust fund (remember Al Gore’s infamous “lock box” proposal from the 2000 campaign) has been raided for years to cover up deficits in other areas of the Federal government.
“I’m pretty sure this is completely false. Social Security (FICA) taxes are supposedly paid into a trust fund, but that trust fund (remember Al Gore’s infamous “lock box” proposal from the 2000 campaign) has been raided for years to cover up deficits in other areas of the Federal government.”
Yes, but that is not direct expenditure of FICA taxes for general revenue purposes, but yes that is part of the problem, however the creation of that problem was by design - that anytime social security taxes paid exceeded the need of social security benefit payments, the “social security ‘investment’ “ would be in U.S. treasury notes - IOUs from the treasury. That is the genesis of the problem but it is no longer the case, the reverse is now upon us and FICA taxes no longer are in excess of benefits and social security must go hat in hand to the treasury and ask for cash for the IOUs the treasury gave it.