BY RUSSELL TURNER
FAITH AND REALITY
The first phase of the election cycle has just ended and it is amazing how the same ol’ issues arise time and time again. A few days ago I was watching some old television shows that I had recorded on VHS tapes several years ago, it just happened that on that tape there were some old political commercials that were recorded. I did notice that some of the politicians we still have had a lot darker hair, and more of it, when the recording was made. For the most part the message is the same as today, ‘vote for me and trust us and let the government take care of you.’ The big issue today is the same as yesteryear - “Social Security”.
For years people such as me have been warning the populous that it is just a matter of time until the whole system will go bankrupt. The typical response has been for some bureaucrat to label us as a bunch of conspiracy theorists and kooks; recently another group has issued a bold warning and I wonder if they will have the same labels placed upon them.
According to their calculations, Social Security is already running a huge deficit to the tune of tens of billions of dollars each year. The astounding rise in Social Security recipients vastly outpaces any growth in tax revenue received into the program. And this trend will continue for decades. The report goes on to describe Social Security’s two main trust funds, OASI (for ‘Old Age Survivors Insurance’) and DI (‘Disability Insurance’). According to the report DI actually went bust several months ago. Like trying to patch an axe wound with a band aid, Congress very quietly diverted money from OASI to pay DI, and keep it afloat through the next presidential election. The projection is the entire Social Security program will be fully depleted in 2034. The report is very damning, but who are the kooks that are putting all of this propaganda out here? The report is actually published by the Social Security Administration itself, signed by (among other cabinet officials) the Treasury Secretary of the United States of America. Social Security has dug itself into an impossible hole; they’re telling us there’s a 0% chance that the government will be able to honor its existing commitments.
For the vast numbers of people that don’t want to have to be bothered with all of this information, they will come to the realization they are in trouble when it is too late. If you think that the election cycle is crazy today just wait, these people will be electing any charlatan that offers a solution where they take money from someone else and give it to them. A bigger and more restrictive government will become the ultimate collection agent. Government will either have to radically raise taxes, or simplyreduce (or eliminate) the Social Security benefits that they’ve been promising taxpayers for decades. If you’re in your 30s or younger, you can not only forget about Social Security, but you can expect to pay more and more taxes to bail out a program that won’t be there for you when it comes time for you to collect.
Fortunately we do have some time to prepare. I have no faith that Social Security will ever be fixed, but the realists with some personal discipline and good stewardship of their earnings will be able to survive. If you are putting all of your faith in the political class you’re putting it in the wrong place.
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