Social Security Admits It Can’t Meet Its Obligations

It actually wrote about it in its letter assuring people about their Social Security benefits.

In my opinion, people are affected by the size and seeming grandeur of the United States, including its government, in the same way passengers were affected by the size and grandeur of the Titanic. No matter how big the approaching ice berg is, they simply cannot believe the ship can sink.

But it will sink like a stone.

Myra Adams writes in the National Review about receiving her Social Security statement.

I was told I could expect to receive a benefit of “about $2,136 a month” upon reaching age 70 — which certainly seems like good news. But immediately I thought of a parallel of President Obama’s infamous Obamacare promise: “If you like your Social Security, you can keep your Social Security.”

Then, as if on cue, I saw an asterisk with the following message:

The law governing benefit amounts may change because, by 2033, the payroll taxes collected will be enough to pay only about 77 percent of scheduled benefits.

So there you have it. They are already telling us that we are not going to get the Social Security that we are supposed to rely on.

But it gets better (which means worse).

[See also, “Another Extremist Discrediting Social Security? No, The CBO Director Is Sounding the Alarm.”]

Adams then compared the message to another document.

Sitting in the back of my Social Security file was an earlier statement dated March 10, 2009. Again, followed by an asterisk was a sentence that read exactly like my 2015 statement except for two major differences (emphasis added):

“The law governing benefit amounts may change because, by 2041, the payroll taxes collected will be enough to pay only about 78 percent of your scheduled benefits.”

In other words, they don’t really know when the shortfall will be reached, or how much it will be. They are guessing year by year. I think the odds are good the shrinking of benefits will happen before 2033.