The Social Security Act requires an annual report to Congress to assess
the futures of Social Security and Medicare. The recent 2014 Social Security
Trustees report shows that Social Security will be able to pay full benefits
for nearly two decades, but will face a huge financial shortfall after
that time. While many think that Congress should begin addressing this
issue immediately, nothing has yet been done to prevent it.
What Social Security Will Look Like by 2033
By 2033, the combined trust funds that make up Social Security will be
exhausted. Current money in reserves is around $2.8 trillion and expected
to rise to $2.9 trillion, but the coming of age of the baby boomer generation
will begin to dip into these funds. If policymakers do nothing now to
address this shortcoming, Social Security would only be able to pay around
75% of benefits after 2033, and would be completely reliant on using Social
Security taxes as they come in.
While not an immediate crisis, this presents a challenge that Congress
should begin considering now. The two funds that feed into Social Security,
the Old-Age and Survivors Insurance (OASI) and Disability Insurance (SSDI),
are legally separate. SSDI is in danger of depletion by 2016. This risks
putting nine million disabled people in America at a 20% benefit cut.
The older the population becomes, the more likely what is being put into
Social Security will not be enough for the pay-out demands. The quicker
a solution is proposed, the better individuals nationwide can plan for
their financial future.
With an experienced Social Security attorney by your side, you can make
sure that you get the benefits that you deserve. Contact your Dallas Social
Security Disability Lawyer at the Zendeh Del Law Firm, PLLC to receive
an online case evaluation!