This forum post is hidden because you have chosen to ignore GailL1. Show Details
This forum post is hidden because you have submitted an abuse report against it. Show Details
In Response to Re: How do we save Social Security?:
You're right ! SSDI should be funded separately as part of a real federaL BUDGET which we haven't had for years. There's nothing wrong with welfare if it's in the open and funded to the extent we can. Hiding it in SS ,Medicare,Medicaid etc. just makes it harder to control and adds to the cost which makes our producers less competitive and loses jobs to elsewhere.
Posted by krlklar
SSDI is funded separately - it has its own Trust Fund. A portion of the payroll tax goes to fund SSDI, just like a portion goes to SS OASI and to Medicare.
This is what the 2013 Trustee Report said and yes, I think this is critical but I haven't heard any legislator or The President put forth any remedy because by law it would have to involve higher payroll taxes or reduced benefits.
"Social Security’s Disability Insurance (DI) program satisfies neither the Trustees’ long-range test of close actuarial balance nor their short-range test of financial adequacy and faces the most immediate financing shortfall of any of the separate trust funds. DI Trust Fund reserves expressed as a percent of annual cost (the trust fund ratio) declined to 85 percent at the beginning of 2013, and the Trustees project trust fund depletion in 2016, the same year projected in the last Trustees Report. DI cost has exceeded non-interest income since 2005, and the trust fund ratio has declined since peaking in 2003. While legislation is needed to address all of Social Security’s financial imbalances, the need has become most urgent with respect to the program’s DI component. Lawmakers need to act soon to avoid reduced payments to DI beneficiaries three years from now."