6. Latest Updates on Future Social Security Cuts and Potential Insolvency
Every year, the Congressional Budget Office releases information on the solvency of the Social Security program. The ongoing payroll taxes will always continue to fund retirement benefits, at least partially, but financial experts warn that the Trust Funds themselves are anticipated to be depleted by 2033.
This is one of the most serious Social Security shakeups that will definitely affect all of us, no matter our age. Experts explain that the only viable solution would be to cut the benefits by 25% by 2034.
Basically, this means that Social Security will only be able to afford scheduled payments until 2034. At that point, the fund’s reserves will run dry, and payroll taxes will only cover 77% of the benefits owed. That doesn’t mean the program will run out of money entirely, though.
If the funding gap isn’t filled, retirees could receive lower Social Security paychecks, or workers may need to pay more into the system.
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Tell Biden stop the federal tax on our SSI benefits. It was HE who cast the tie breaker vote to tax SSI way back when. I have already paid taxes on SSI when i was working and Iam taxed AGAIN when i collect. WHY??????????????????????!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!