Member-only story
Retirement
Social Security Has Got Major Problems
Its reserves run out one year earlier — in 2033 — based on a new Trustees Report
A new Social Security annual report from its “Trustees” is out. They say the combined Social Security and Disability reserves will be depleted in 2034. This is one year earlier than the 2035 projected depletion year in last year’s report. Moreover, apart from disability benefits the Social Security funds become depleted in 2033.
Moreover, the Report says that only 80% of the benefits could be paid out by 2034 to all Social Security recipients.
In other words, things are getting worse for Social Security. Based on the massive number of people expected to retire in the next 11 years, the 2 “funds” will not be able to pay out all of the projected payments by 2034.
Here is the sentence on page 9 that focuses on this shortfall:
“ Under the Trustees’ intermediate assumptions, OASDI cost is projected to exceed total income in 2023, and the dollar level of the hypothetical combined trust fund reserves declines until reserves become depleted in…
