Long-term Health of Social Security is Worse;
NCPA Experts Available on Trustees Report, Disastrous
Consequences of Status Quo
- March 17 - The Social Security Administration today is releasing
the annual report from its trustees on the status of the nation's
retirement and health programs for seniors. Even though this year's
report shows slightly better short-term news, experts from the
National Center for Policy Analysis (NCPA) say "the long-term
prospects for both programs are deteriorating rapidly." NCPA experts
are available to discuss the report and the long-term implications
of maintaining the status quo. Contact the NCPA Public Affairs
office at 800-859-1154 for more information.
anyone planning for retirement, policy makers should think long-term
when discussing the health of Social Security," said Matt Moore,
Social Security policy analyst with the NCPA. "This year's trustees
report shows that attempting to maintain the status quo is going
to be difficult at best, disastrous at worst."
the NCPA's analysis of the trustees' report, revenues from the
payroll tax that currently support Social Security and Medicare
will no longer be sufficient to pay benefits within the next ten
years. At that time, the obligations denoted by the programs'
Trust Funds will require a shift in tax dollars from other areas
of the budget at an accelerating rate. The NCPA pointed to a few
-- Today: Funds
collected for Social Security and Medicare Part A and B are in
excess to what is needed to provide benefits. This surplus is
equal 2 percent of all federal income tax collections. -- 2008:
The date when the funds will no longer be sufficient and general
revenue transfers will be needed to meet the programs' obligations.
-- 2013: 5 percent of all federal income tax receipts will be
needed to maintain promised benefits. -- 2020: 17 percent of all
federal income tax receipts will be needed to maintain promised
benefits. -- 2030: 36 percent of all federal income tax receipts
will be needed to maintain the status quo. -- 2040: Two years
before the "Social Security Trust Fund" is exhausted under current
estimates, these programs will require 47 percent, or nearly half,
of all federal income tax receipts.
The NCPA will
host a Capitol Hill briefing on the report Tuesday, featuring
Social Security and Medicare Trustee Thomas R. Saving. For details,
contact the NCPA Public Affairs office at 800-859-1154 or online
is an internationally known nonprofit, nonpartisan research institute
with offices in Dallas and Washington, D.C., that advocates private
solutions to public policy problems. We depend on the contributions
of individuals, corporations and foundations that share our mission.
The NCPA accepts no government grants.
|Common Dreams NewsCenter is a non-profit news service
providing breaking news and views for the Progressive Community.
press release posted here has been provided to Common Dreams NewsWire by
one of the many progressive organizations who make up America's Progressive Community.
you wish to comment on this press release or would like more information,
please contact the organization directly.
*all times Eastern US (GMT-5:00)
Read our Guidelines
for Submitting News Releases
1997-2003 Common Dreams.