An unexpected weakening in the finances of Social Security has raised concern about the longevity of the program lasting, especially for the middle class. And with political tension rising and deepening partisan divides, the social program that so many Americans rely upon may be in jeopardy. But should you really be worried about the fund running out?
Let’s take a look.
The government’s 2018 Trustees Report on Social Security show that the financial condition of the fund has worsened significantly since last year. More concerning, Social Security will start tapping their reserves this year, meaning income from payroll taxes and interest earned by the Social Security trust will no longer cover costs. Last year, the report suggested we were several years away from tapping reserves.
So, should you be worried?
Economically speaking, Social Security is in trouble. Without reform, the fund will run out. Then, retirees can generally expect about 75 cents on every dollar of their scheduled benefits. Once the trust fund is depleted, there will be no surplus left. From that point on, the amount paid out in the form of benefits can only match what's coming into the Social Security system through employment taxes.
So, if retirement is right around the corner, you probably have nothing to worry about when it comes to your Social Security benefits. The problems described above are highly unlikely to affect current retirees or even those who plan to retire in the next 10 years.
Younger people have the most to lose. Generally speaking, people under 50 are paying into a system that cannot afford to pay them the benefit it’s promising them. Social Security reform has been and will continue to be a controversial and complex issue within our government. Set yourself up for a better future by educating yourself on the status and implications of the Social Security fund and the policies that enforce them.
If you're like most Americans, Social Security is a key part of your retirement plans. If you have been denied Social Security Disability (SSD) benefits or believe you have been wrongfully terminated by the SSA, contact the Law Firm of Hoskins, Turco, Lloyd and Lloyd. When it comes to SSD, having the right attorney on your side can make all the difference. By working with our experienced team of legal professionals, you will improve your chances of winning disability benefits.
Don’t fight this stressful situation on your own. Filing for Social Security benefits is a time-sensitive process, so do not delay in calling us today at 1-866-460-1990.