The Trustees for the Social Security Trust Fund have released their annual report, and 2021 will be the first year that expenses will exceed income. If no changes are made to address this, trust fund reserves are predicted to be depleted by 2034.
Current law requires that once reserves are exhausted, benefits are automatically reduced. The Pelosi-Shumer brigade in Congress, however, is launching another series of welfare benefits with their $3.5 Trillion spending plan.
Only in Washington D.C. can career politicians come up with news ways to bankrupt us, even when social security retirement income is on its way to collapsing.
Despite this, cost of living adjustments for recipients, which were 1.3% in 2021, are expected to be close to 6%. That’s good news for seniors, but for the politicians and bureaucrats that are stoking inflation fires, rampant inflation will only empty the coffers faster than projected.
We certainly need new leadership in Congress that will fight for fiscal sanity. The 2022 mid-terms can’t get here fast enough.